DGAP-News: Balda AG

DGAP-News: Balda AG sets course for new business model

DGAP-News: Balda AG / Key word(s): Half Year Results Balda AG sets course for new business model

11.02.2016 / 08:35 The issuer is solely responsible for the content of this announcement.

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Bad Oeynhausen, 11 February 2016 - Balda AG published half-year-report 2015 / 2016 (1 July to 31 December 2015) today. The reporting period for the continuing operations was affected by administration and consulting costs in connection with the transaction and the known lawsuits.

Course of business not representative for future development

Due to the resolved sale of the entire operating business, the operating business is re-classified and listed under discontinued operations in the published half-year report. Accordingly, in the continuing operations, no sales revenues are reported until the commencement of future business of Clere AG.

At EUR -2.6 million, earnings before income and taxes (EBIT) of the Group remained below the previous year's value of EUR 1.9 million due to detrimental special effects (EUR 0.9 million). Essentially, the EBIT contains administration and consulting costs, which arose in connection with the transaction, the Annual General Meeting as well as the pending lawsuits.

Due to absent currency gains at a lower net interest result, the Group achieved an almost balanced net financial result, which in turn resulted in earnings before taxes (EBT) in the amount of EUR -2.6 million (previous year: EUR 2.9 million). After taxes on income and profit, the Group earnings amounted to EUR -2.2 million following EUR 1.9 million during the same period last year.

Equity was reduced to EUR 167.4 million (30 June 2015: EUR 234.1 million) after a dividend payment in the amount of EUR 64.8 million. At the reporting date a total of circa EUR 120 million of cash remains within the Group. With the addition of the expected payments from the sale of the operating business, the Group is in the possession of sufficient capital to finance the planned capital decrease and the development of the future business.

With the enforcement of the purchase contract for the sale of the operating units the Group expects extraordinary earnings in the amount of EUR 30 million.

Significant events after the reporting period

At the Extraordinary General Meeting on 29 January 2016 in Hanover, the shareholders approved the sale of the entire operating business to Italian Stevanato-Group with 98.9 % yes-votes. On 4 February 2016, Balda AG announced that it had accepted the Stevanato bid. Moreover, with a clear majority the shareholders approved the re-orientation scheme of the Group. In future, Balda will bear the name Clere AG and will undergo operational re-alignment.

For the new business model, Balda is looking at attractive investment options with high appreciation potential, e.g. investments and participations in the field of environmental and power engineering. Moreover, the Group is looking at different models of active asset management as well as SME business participations and SME financing.

"After the upcoming transfer of the sold business areas to the Stevanato Group, the path is clear for a new start under the name Clere AG. As a future investment company and SME financing partner, we are currently focussing on the strategic and operational re-orientation of the Group", says Oliver Oechsle, sole Management Board member of Balda AG.

Note to the publishers:

The half-year report 2015 / 2016 can now be downloaded on the company's website www.balda-group.com.

Contact / contact person

Daniela Münster Deekeling Arndt Advisors Tel: +49 (0) 5734 922 2555 Mobile: +49 (0) 174 335 8111 E-mail: daniela.muenster@deekeling-arndt.de

About Balda

After the sale of the operating business, the business model for the remaining Balda will lie with investments and shareholdings in the field of environmental and power engineering. Furthermore, the new Balda will pursue active asset management as well as SME business participations and SME financing

www.balda-group.com

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11.02.2016 Dissemination of a Corporate News, transmitted by DGAP - a service of EQS Group AG. The issuer is solely responsible for the content of this announcement.

The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Media archive at www.dgap-medientreff.de and www.dgap.de

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Language: English Company: Balda AG Bergkirchener Str. 228 32549 Bad Oeynhausen Germany Phone: +49 (0) 57 34 / 9 22-0 Fax: +49 (0) 57 34 / 9 22-2604 E-mail: ir@balda-group.com Internet: www.balda-group.com ISIN: DE0005215107 WKN: 521510 Listed: Regulated Market in Frankfurt (Prime Standard); Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg, Hanover, Munich, Stuttgart End of News DGAP News Service ---------------------------------------------------------------------------

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