Acquisition costs of Cramo Plc and Adapteo Plc shares

Determination of acquisition costs of Cramo Plc and Adapteo Plc shares for Finnish taxation purposes

Cramo’s Modular Space business was transferred to Adapteo Plc in a partial demerger of Cramo on 30 June 2019 and Cramo’s shareholders received Adapteo shares as demerger consideration (1:1). Due to the partial demerger the original acquisition cost of Cramo shares is divided between Cramo and Adapteo shares in the Finnish taxation. The acquisition cost depends on the original acquisition date. Determination of the acquisition costs is necessary for the Finnish taxation purposes in order to calculate a capital gain or loss from a sale of shares.

Large Taxpayers’ Office has confirmed that the original acquisition cost of Cramo share is divided between Cramo and Adapteo shares based on the ratio of net assets.

Cramo’s net assets were divided between Cramo and Adapteo in the partial demerger as follows:

  • 59.55% stayed at Cramo and
  • 40.45% was transferred to Adapteo.

Example: If a shareholder purchased one Cramo share before the partial demerger (30 June 2019) for a price of EUR 12.00, after the partial demerger the acquisition cost of Cramo share is EUR 7.15 (59.55%) and Adapteo share is EUR 4.85 (40.45%).

The above description of the determination of the acquisition costs is not applicable to non-Finnish resident shareholders. We recommend that shareholders who are tax resident outside Finland will seek advice from their own tax advisors or local tax authorities in order to determine the acquisition costs of the shares for their taxation purposes.

Determination of the acquisition cost for Finnish taxation purposes

In the Finnish taxation the original acquisition cost of Cramo shares is divided between Cramo and Adapteo shares received as a demerger consideration based either on the ratio of the distribution of net assets of the companies on demerger date or on the ratio of the current values of the shares. The current value ratio is used if the distribution ratio of the net assets materially differs from the current value ratio.

The ratio of the current values of Cramo and Adapteo shares did not materially differ from the distribution ratio of the net assets. Therefore, the acquisition costs of the shares are determined according to the main rule, i.e. according to the distribution ratio of the net assets.

Further information (in Finnish) about the decision can be found at: https://www.vero.fi/syventavat-vero-ohjeet/ohje-hakusivu/81329/cramo-oyjn-osittaisjakautumisessa-syntyneen-adapteo-oyjn-sek%C3%A4-cramo-oyjn-osakkeiden-hankintamenon-m%C3%A4%C3%A4ritt%C3%A4minen-verotuksessa/

PUBLIC TENDER OFFER OF ALL SHARES IN CRAMO

FINANCIAL STATEMENTS BULLETIN FOR JANUARY-DECEMBER 2019 PUBLISHED

EXTRAORDINARY GENERAL MEETING ON 10 MARCH 2020 AT 2 PM (EET)

Financial Statements Bulletin 2019

Financial Statements Bulletin 2019 was published on 11 February 2020.

Calendar

  • 2 Mar 2020 - 6 Mar 2020Annual Report 2019 published in week 10
  • 10 Mar 2020Extraordinary General Meeting 2020
  • 8 Jul 2020 - 28 Jul 2020Silent period

Welcome to Cramo Investor pages

Cramo is a service company specialising in equipment rental services. Our equipment rental services comprise machinery and equipment rental as well as rental-related services.

As one of the industry’s leading service providers in Europe, Cramo operates in Finland, Sweden, Norway, Estonia, Lithuania, Poland, Germany, Austria, Hungary, the Czech Republic and Slovakia. In Russia and Ukraine we operate under the brand of the 50 percent owned joint venture Fortrent.

Cramo provides modern rental solutions through the Cramo Concept. Under the Cramo Concept, construction companies and customers in trade, industry and the public sector, as well as private customers, are provided with machinery and equipment through different rental solutions and services.

By combining the product portfolio with its extensive offering of services, Cramo reduces the capital invested by its customers and can create total rental solutions for every need for both the short and long term.

Through a network of about 300 depots, with a total number of rental items over 230,000, Cramo’s 2,600 employees serve over 150,000 customers in eleven countries.

Cramo is a Nordic Mid Cap Company in the Industrials sector on Nasdaq Helsinki Ltd.