(Lysaker, Norway, 10 November 2008) The Board of Directors of Navamedic ASA has decided to focus the company's further development on its Direct Sales and Marketing business, through the subsidiary Vitaflo Scandinavia AB. The company will initiate a process to move the main management functions currently conducted at the Navamedic office in Oslo to Gothenburg. As the Glucomed product is no longer a core asset, the product may be sold off given a fair price and under the right conditions.
Vitaflo Scandinavia AB has developed positively since the acquisition last year, and it is the Board of Director's opinion that Navamedic's strategic positioning from a one product company to a regional pharmaceutical player has been a success. At the same time, Glucomed has not delivered as expected, and the Board of Directors has decided to focus the future development of the group on Vitaflo Scandinavia AB with main management functions located close to this business line in Sweden and Denmark. The Board of Directors believes that this business area, with a strengthened focus will continue to deliver significant growth both on top line and EBITDA in the next years.
Following the Board's decisions and the structural changes to be implemented, CEO Øyvind W. Brekke has decided to resign from his position as of today. He will assist the company for some time focusing on Glucomed issues. The recruitment process for a new CEO starts immediately. The current CFO, Bernt-Olav Røttingsnes, will hold both CEO and CFO positions in the interim period.
For further information, please contact:
Johan Reinsli, Chairman of the Board, Navamedic ASA
Mobile: +47 916 04 145
Bernt-Olav Røttingsnes, CFO/IRO Navamedic ASA
E-mail: bor@navamedic.com
Office: +47 67 11 25 44
Mobile: +47 91 34 70 21