Kaupskil sells its remaining stake in Arion Bank hf.

Kaupthing ehf. announces that Kaupskil ehf. (“Kaupskil”) has today completed the sale of its remaining 20% stake in Arion Bank hf. (“Arion Bank”) to a group of international and domestic investors.
Kaupthing’s stake in Arion Bank, which was held via Kaupthing’s subsidiary Kaupskil, was sold for gross proceeds of ISK 27.4 billion, or ISK 75.5 per share (the “Transaction”). The Transaction was agreed on 1 July 2019 in response to a binding offer received the same day, and the Transaction price represented a 2.5% discount to the stock’s closing price on 28 June 2019.
The banks which advised Kaupskil on the accelerated bookbuild announced on 3 April 2019 (the “ABB”) agreed to waive the remaining lock-up agreed as part of the ABB in order to allow the Transaction to occur. Settlement will occur on 11 July 2019, and a payment of ISK 9.8 billion will be made to the Icelandic Treasury on or around that date under the terms of the Shareholders’ Proceeds Apportionment Agreement dated 13 January 2016. Fossar, Citigroup and Carnegie acted as Joint Bookrunners in the Transaction.

Following this transaction, Kaupskil no longer holds any Arion Bank shares.
Arion Bank will not receive any proceeds from the Transaction.

Paul Copley, Kaupthing CEO: “This transaction represents the conclusion of nearly ten years’ ownership of Arion Bank following the restructuring of Kaupthing. I am delighted that we have been able to return Arion Bank to a diversified ownership structure. The 20% investment in Arion Bank was Kaupthing’s largest remaining asset and its sale is a significant step towards the ultimate closure of Kaupthing.