SOURCE: EuroTrust A/S

October 11, 2006 09:26 ET

EuroTrust Agrees to Purchase Controlling Interest in 3 Wind Farm Projects in Italy and to Purchase 12 Real Estate Development Projects in Denmark

COPENHAGEN, DENMARK -- (MARKET WIRE) -- October 11, 2006 -- EuroTrust A/S (NASDAQ: EURO) today announced that it has entered into agreements to purchase a controlling interest in Enerteq ApS, Enerteq Vitalba ApS, and agreements to purchase 100% of JBH Gruppen A/S and Real Ejendomme A/S, for an aggregate purchase price of up to DKK 21 million (approximately $3.5 million) and 1,070,000 ordinary shares of EuroTrust. The cash purchase price to be paid to the shareholders of JBH Gruppen and Real Ejendomme will be payable DKK 4 million at closing and up to an additional DKK 17 million based upon the gross margin earned by Euro Trust of two large scale real estate development projects being expected to be completed by the end of 2007 and 2008 respectively. The 1,070,000 shares of EuroTrust will be issued to the respective shareholders of Enerteq ApS, Enerteq Vitalba ApS, JBH Gruppen A/S and Real Ejendomme A/S. The shareholders of the Enerteq companies have agreed that they may not dispose of the shares for at least 3 years and the shareholders of JBH Gruppen and Real Ejendomme have agreed that they may not dispose of the shares for at least 1 year up till 5 years.

Upon completion of the transactions EuroTrust will own 50.5% of the outstanding shares of Enerteq ApS and Enerteq Vitalba ApS and 100% of the outstanding shares of JBH Gruppen A/S and Real Ejendomme A/S.

Enerteq ApS and Enerteq Vitalba ApS are energy holding companies in the burgeoning Tuscany market in Italy. With 7 Vestas turbines (V52) coming on-line this month in Vitalba, and an additional 32 turbines (V52) expected by the end of 2007 and 2008, Enerteq is positioned for future growth in the market. Year 1 EBITDA for these 39 turbines is estimated at DKK 69 Million with the EuroTrust share being DKK 28 million (approximately $4.75 Million) with an anticipated pay-back time of 4-5 years.

JBH Gruppen A/S and Real Ejendomme A/S are multi-disciplined real estate development companies with broad experience in retail, office and multi-family real estate development. With 3 multi-family projects being delivered by the end of 2006, 4 retail and multi-family projects being completed by 2007 and 5 retail and multi-family projects being completed by 2008-2009, the project acquisitions further enhance the EuroTrust position in the Danish development market. The 12 projects in and around Copenhagen are anticipated to deliver the EuroTrust group a gross margin of DKK 170 Million (approximately $28.7 Million).

The completion of the real estate development transactions are subject to satisfactory due diligence and the approval of the EuroTrust Board of Directors which must be completed by November 1.

Bo Kristensen, CEO of EuroTrust, said, "The acquisitions of the real estate development companies will continue our strategy of providing the equity capital necessary to finance our wind energy farms throughout Europe. Furthermore with the acquisition of the Enerteq companies we are pleased to announce that we have now established an ownership to our first project in commercial operation on the Italian market as well as established an entry to one of the most attractive wind farm energy markets in the world."

Except for historical information contained herein, this presentation contains forward-looking statements that are dependent on many risks and uncertainties which are set forth in the "Risk Factors" section of our annual report on Form 20-F for the year ended December 31, 2005 as filed with the United States Securities and Exchange Commission.

This report as well as other information about the Company is available on line at www.eurotrust.dk, is contained in publicly filed disclosures available through the SEC's Public Reference Branch or may be obtained from the Company's Investor Relations Department.

Contact Information

  • EuroTrust Contact:
    Bo Kristensen
    CEO EuroTrust
    +45 7550 2475
    Email Contact