YIT and KMG Inseneriehituse AS have signed an agreement for the sale of YIT’s paving and mineral aggregates businesses in Estonia. The transaction is expected to be completed in the second quarter 2021, and YIT expects to record a positive cash flow effect of approximately EUR 8 million from the sale in its second quarter results. The sale won’t have material impact on YIT’s operating profit. From the first quarter 2021 onwards, operating profit from the businesses to be sold, as well as the result impact from the sale, will be recorded in adjusting items and will not be presented in adjusted operating profit.
The transaction comprises the operations of YIT’s paving, mineral aggregates, blasting, road marking and traffic sign production businesses in Estonia. The personnel of approximately 170 persons will be transferred to KMG as part of the transaction. In 2020, the revenue of the sold business was EUR 35 million.
“Upon completion of the transaction, the business portfolio of YIT will be streamlined and the capital efficiency will be improved. With the remaining housing, business premises and infrastructure businesses, YIT will focus in Estonia to urban development which is the company’s strategic core”, states Peter Forssell, SVP, Business Premises, YIT.
For further information, please contact:
Peter Forssell, Business Premises CEE division, YIT Corporation, tel. +358 (0)40 532 2273, email@example.com
Tommi Järvenpää, Vice President, Investor Relations, YIT Corporation, tel. +358 (0)40 576 0288, firstname.lastname@example.org
Vice President, Investor Relations
Distribution: Nasdaq Helsinki, major media, www.yitgroup.com
YIT is the largest Finnish and a significant North European urban developer and construction company. Our goal is to create more sustainable, functional and attractive cities and living environments. We develop and build apartments, business premises and entire areas. We also specialise in demanding infrastructure construction. We own properties together with our partners, which supports the implementation of our significant development projects. We also provide our customers with services that increase the value of properties. We employ approximately 7,400 professionals in ten countries: Finland, Russia, Sweden, Norway, Estonia, Latvia, Lithuania, the Czech Republic, Slovakia and Poland. Our revenue in 2020 was approximately EUR 3.1 billion. YIT Corporation's share is listed on Nasdaq Helsinki Oy. www.yitgroup.com