Boreo executes its capital efficiency focused strategy by exiting from SANY excavator business in Finland and Sweden

BOREO PLC Investor News 16 January 2023 at 14.00 EET Boreo implements its capital efficiency focused strategy and exits from SANY excavator businesses in Finland and Sweden Boreo plc and SANY Europe GmbH ("SANY") have reached an agreement to end excavator dealer agreements in the Finnish, and Swedish markets. The Estonian dealer agreement remains in place and HM Nordic Ou (a part of Boreo’s Heavy Machines Business Area) continues to be the SANY dealer on the Estonian marketplace. "Our goal is to have businesses that can generate stable earnings growth and attractive returns on capital. We see great potential for growth in SANY products in the Finnish, and Swedish markets. However, this business growth requires substantial investments. This makes it less likely to provide the returns on capital that we expect to get elsewhere. "I want to thank our team for their hard work in establishing the SANY brand on the market. We will continue to sell, distribute, and provide service in Finland and Sweden in the transition phase. In collaboration with SANY we will ensure a smooth transition to a new distribution system. We are confident that the success of the business and its integration with Putzmeister operations will continue to drive growth in Estonia, according to Richard Karlsson (Head of Boreo’s Heavy Machines Business Area).