Noreco Successfully Completes NOK 550 Million Private Placement

Noreco has successfully completed the private placement announced October 8, 2007, and Noreco has decided to raise NOK 550 million in new equity, representing 16,666,667 new shares in the Company. The price per share has been set at NOK 33.00, valuing the Company at NOK 3,676 million-post issue of the new shares. The private placement was targeted to a limited number of qualified Norwegian and international investors.

The pricing and allotment of shares in the private placement took place on 19 October 2007. The price per share was set at NOK 33.00. The indicative price range announced at the launch of the private placement was NOK 31.25 to NOK 36.25 per share, adjusted for the share split (1:4) approved by the general meeting on 10 October 2007.

A total of 16,666,667 new shares will be issued, resulting in gross proceeds to Noreco from the share issue of NOK 550 million. After the share issue, Noreco will have a total of 111,391,367 shares outstanding. This implies a market capitalization of NOK 3,676 million based on the offer price in the private placement.

SEB Enskilda ASA and Pareto Securities ASA have acted as joint lead managers and book-runners for the private placement.

The Company has applied for a listing on Oslo Bors and the application for listing is expected to be considered at the meeting of the board of directors of Oslo Bors ASA scheduled for 24 October 2007.

In connection with the listing on Oslo Bors, Noreco further expects to complete a Norwegian retail offering of up to NOK 50 million through a new share issue. The offer price per share in such subsequent retail offering will be equivalent to the price in the private placement.