IAR Systems Group completes acquisition of Secure Thingz and resolves on non-cash issue

Uppsala, Sweden – April 11, 2018 – Today, IAR Systems Group (“IAR Systems” or “the company”) completed the acquisition of Secure Thingz (“Secure Thingz”), which was announced in a press release dated March 21, 2018. IAR Systems previously owned approximately 20% of the shares in Secure Thingz, and the consideration for the remaining 80% amounted to approximately SEK 219m, comprising a cash consideration of about USD 21,5m and 164,584 class B shares in IAR Systems.

With the support of the Annual General Meeting’s authorization on April 26, 2017, the Board of Directors has decided today to issue 164,584 new class B shares. The new shares will be subscribed for by shareholders of Secure Thingz and issued against a contribution in kind in the form of shares in Secure Thingz Inc.

The new share issue will dilute the share capital by approximately 1.2% as a result of an increase in the number of shares outstanding to 13,608,845 (comprising 100,000 class A shares and 13,508,845 class B shares).

In addition to the cash consideration and contribution in kind of 164,584 class B shares as described above, an existing warrants program for employees of Secure Thingz will be replaced with warrants in IAR Systems. This change to the warrants program is contingent on the approval of the shareholders of IAR Systems. The warrants are valued at approximately SEK 18m based on the current price of the IAR Systems share and the exchange rate USD/SEK The company intends to convene an Extraordinary General Meeting presently to decide on this matter.

“By acquiring Secure Thingz, we are meeting our customers’ growing needs for products that can guarantee data security throughout the entire development and manufacturing process,” says Stefan Skarin, CEO of IAR Systems.

IAR Systems Contacts
Josefin Skarin, Investor Relations, IAR Systems Group AB
Email: josefin.skarin@iar.com

Stefan Skarin, CEO and President, IAR Systems Group AB
Email: stefan.skarin@iar.com

This information is information that IAR Systems Group AB is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person set out above, at 19:00 CET on April 11 2018.