Kandia-Excelent to withdraw from stock exchange

“The [company’s] suspension from BVB trading is required by law. The National Securities Commission [CNVM] has approved the shareholder strategy to withdraw from the Bucharest Stock Exchange,” said Kandia Excelent Chief Executive Officer, Sorin Alexandrescu.

CNVM decided yesterday to stop the trading of Kandia-Excelent stock, after the company announced its withdrawal.

Last November, the company launched a mandatory takeover public offer, for 6.68 percent of its stock. By yesterday, the main shareholder had managed to acquire a portion of that stock, exceeding 95 percent, which allows it to withdraw from BVB.

The main shareholder is international company Cadbury Schweppes, the largest sweets producer worldwide. Last June, it purchased 93.2 percent of Kandia-Excelent, for €99.4 million. The company’s market capitalization amounted to 83.55 mln yesterday, before the stock’s suspension. Since the June transaction, the company lost 32 percent of its value.

Kandia-Excelent posted losses worth €624,500 in the third quarter of 2007, compared to €222,350 in net profits in Q3 2007. Its net profits in the first nine months of 2007 amounted to some €265,930, 12.5 times lower year-on-year.