19 Jan, 2006
Press Release

GNTs acquisition of SMG was finalized on Wednesday 18th of January 2006

STOCKHOLM, SWEDEN 19 Januari 2006

GNT has finalized the acquisition of SMG and has become the leading distributor in the Nordic and Baltic region. The company will operate out of Upplands Väsby and Norrköping.

“I have got the tremendous opportunity of becoming the MD for Sweden and Christian Svärd will operate at group level within the GNT Corporation, Terje Billbergh will act as sales director and Richard Robertsson as marketing director. We are expecting turnover to reach 3,5 – 3,8 billion Swedish kronor” says Anders Nordlöw. Put together the two companies have more than 3600 buying customers during 2005. Our objective is to continue focusing on the small business market with a very active sales organization.

”It is very exciting to get the opportunity to lead the new organization toward our goal of becoming the largest and most profitable distributor in Sweden before mid 2008. We will have the most complete product portfolio of all distributors in Sweden and I look forward to competing on the same level as Ingram Micro, Tech Data and Scribona, which means that we have HP and Fujitsu Siemens as our vendors” Anders Nordlöw concludes.

Facts about the new GNT
This acquisition makes GNT the largest Nordic distributor with a pro forma turnover at 1,4 billion Euro. GNT operate in the Nordic countries, in the Baltic’s and Poland. Expected turnover for 2006 is 1,5 billion Euro and a total of 1 000 employees.
The pro forma turnover for GNT/SMG Sweden during 2005 was 3,4 billion Swedish kronor, where SMG did 2,4 billion and GNT did 1 billion Swedish kronor. This with a total number of 180 employees operating out of Upplands Väsby and Norrköping. SMG was the fourth largest and GNT the fifth largest distributor in Sweden 2005.

Background
Under the Christmas holiday an approval was received from the Swedish Competition Authority. Yesterday GNT finished the acquisition of SMG in Norway, Sweden and Finland, and thereby became the leading distributor in the Nordic and Baltic countries.
The companies operate in Upplans Väsby and Norrköping. GNT has a full size sales office in Norrköping and a modern logistics centre in Upplands Väsby.

With the acquisition GNT combines SMGs history, established customer relations and logistics with GNTs active and cost effective business model. The new company will have the most complete product portfolio on the Swedish market. In a limited time GNT has grown to be the fifth largest distributor, with strong focus on the small business market and an active sales organization. Toghether GNTs and SMGs turnover challenge the leading distributors on the market.

What happens now?
Anders Nordlöw has been appointed MD for the consolidated operation that will continue to run the business in Upplands Väsby and Norrköping. Anders will, with the support of Christian Svärd MD for GNT Sweden, plan the integration of the two companies. The planning will focus on refining and developing the existing assets and values the both companies has come to represent. After this process Christian Svärd will move to other tasks within the GNT-Group.

Aim
The consolidated company represents the best of two worlds, being active with a strong representation on the small business market with leading vendors like HP and Fujitsu Siemens, and has a reputable position of being “the best and most service minded distributor” in Sweden. This combination is a great foundation to fulfil the ambition of being the leading distribution company in the IT-sector.
Turnover for the Swedish business is expected to reach 3,5 - 3,8 billion Swedish kronor during 2006.

For more information, please contact:
Anders Nordlöw
Santech Micro Group Sweden AB
(+46) 08-587 771 00
anders.nordlow@smg.net

Christian Svärd
GNT Sweden AB
(+46) 011-473 73 00
christian.svard@gnt.se