PREMIER FARNELL PLC - Sale of Cadsoft Business

27 June 2016

PREMIER FARNELL PLC

SALE OF CADSOFT BUSINESS

Premier Farnell today announces that, together with its wholly owned subsidiary Celdis Limited, it has completed the sale of Cadsoft Computer GmbH (“Cadsoft”) and the assets used in connection with the sale of Cadsoft products in the US (together “the Business) to a subsidiary of Autodesk Inc. (“Autodesk”).  

Cadsoft is a software development business that produces electronics design software that Autodesk will add to its software portfolio.  Premier Farnell will continue to distribute the Cadsoft product on behalf of Autodesk.

This action follows an operational review, initiated in July 2015, which concluded that Premier Farnell would look to strategically refocus its portfolio and concentrate on its core distribution business, while also reducing its net debt.  The net proceeds of the disposal will have the effect of reducing Premier Farnell’s reported net debt position as at 31 January 2016 by approximately 8%.

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This release contains certain forward-looking statements relating to the business of the Group and certain of its plans and objectives, including, but not limited to, future capital expenditures, future ordinary expenditures and future actions to be taken by the Group in connection with such capital and ordinary expenditures, the expected benefits and future actions to be taken by the Group in respect of certain sales and marketing initiatives, operating efficiencies and economies of scale. By their nature forward-looking statements involve risk and uncertainty because they relate to events and depend on circumstances that will occur in the future. Actual expenditures made and actions taken may differ materially from the Group’s expectations contained in the forward-looking statements as a result of various factors, many of which are beyond the control of the Group. These factors include, but are not limited to, the implementation of initiatives supporting the Group’s strategy, the effect of legislation and regulatory enactments, recruitment and integration of new personnel, the implementation of cost saving initiatives, continued use and acceptance of e-commerce programs and systems, implementation of new IT systems, the ability to expand into new markets and territories, the implementation of new sales and marketing initiatives, changes in demand for electronic, electrical, electromagnetic and industrial products, rapid changes in distribution of products and customer expectations, the ability to introduce and customers’ acceptance of new services, products and product lines, product availability, the impact of competitive pricing, fluctuations in foreign currencies, and changes in interest rates and overall market conditions, particularly the impact of changes in worldwide and national economies. The Group does not intend to update the forward-looking statements made herein.