Kontron expands capital base

EC manufacturer issues EUR 29.1 million convertible bond at 3 percent interest and 38 percent conversion premiumProceeds to support technological expansion and strong growth in "Emerging Markets"Eching, November 27, 2003. Kontron AG has issued a convertible bond with a volume of EUR 29.1 million. The bond entitles investors to convert 3.4 million shares with a term of 4 years, and it carries a nominal interest rate of 3 percent. The conversion price is EUR 8.56 per share. Shareholders were excluded from subscribing. In issuing this bond, Kontron is - in its own words - profiting from the presently attractive market environment for convertible bonds, and has secured a low rate of interest in particular. The proceeds are to be used on the one hand to expand the company´s position in
rapidly growing markets in the Far East and Russia, and on the other to finance technological expansion, thereby creating a competitive advantage for the future. For example, in recently taking over the Roding location (Upper Palatinate) from the bankrupt ROI Computer AG, Kontron has expanded its technological base for so-called human machine interfaces. The first fruits of Kontron´s technological initiative can be seen in the fact that Wonderware and Wago have selected Kontron as their strategic partner for embedded technology. Wonderware is the world leader in process automation, and Wago one of leading suppliers of data acquisition systems in automation. Using Kontron technology, our partners can now offer their international customers complete automation solutions.

Information:
Gaby Moldan
Kontron AG
Tel.08165/77212
Email:[email protected]

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