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Orkla Associates

Orkla Associates comprises investments in companies where full ownership is not desirable or is not possible, and mainly consists of Orkla’s investments in REC ASA and Jotun A/S.

In both these investments, Orkla has an equity interest of approximately 40 %. Orkla has three representatives on REC’s Board of Directors and two representatives on Jotun’s Board of Directors. The Group’s profit from these companies is presented in Orkla’s consolidated financial statements on the line for «Profit from Associates».


Last modified: 12.04.2010
 
 

REC (Renewable Energy Corporation)

Renewable Energy Corporation (REC) is one of the world’s leading companies in the solar energy industry. The business covers every part of the value chain, from production of raw materials to finished solar cells and modules. As a global player, REC mainly serves markets in Europe, the US and Asia. The company has close to 3,000 employees, and its business activities are split into three divisions: REC Silicon, REC Wafer and REC Solar.

REC continued to expand its operations in 2009. The biggest projects currently being implemented to increase production capacity in the course of 2010 relate to the completion of the plant for production of silane gas and polysilicon in Moses Lake, US, the production of polysilicon wafers on Herøya and in Glomfjord, Norway, and the completion of a new, integrated factory for the production of wafers, cells and modules in Singapore.

http://www.recgroup.com/

 
 

Jotun

Jotun is one of the world’s foremost manufacturers of paints and powder coatings. The Group has 74 companies and 40 production facilities, distributed across all of the world’s continents. Jotun also has agents, local offices and distributors in more than 80 countries and a total of 7,400 employees. Jotun’s operations include the development, production, marketing and sale of a range of paint systems, as well as products for the residential, shipping and industrial markets that are designed to protect and decorate surfaces.

The Jotun Group comprises four divisions: Jotun Dekorativ, Jotun Paints, Jotun Coatings and Jotun Powder Coatings. Each division has its own products, segments and geographical areas of responsibility.

Jotun achieved satisfactory results in 2009, although the results varied significantly from one geographical area to another and within each segment. The global economic downturn has gradually slowed the strong growth achieved by the Jotun Group in the past few years, but the Group’s performance remained strong in several key areas.

Some of the markets in which Jotun operates are relatively late-cyclical, and parts of the business are therefore expected to experience weaker growth in future. This applies, for instance, to products for the ship newbuilding sector and large real estate projects.

Jotun’s strategy is based on organic growth. In 2009, new production plants were opened in South Korea and Saudi Arabia. Jotun has decided to invest over NOK  500 million in a new factory in Sandefjord, and is also further developing its activities in North Africa. In view of the currently challenging global economy, Jotun attaches importance to maintaining a relatively high level of investment in order to secure future growth.

http://www.jotun.com/

 

Orkla Associates


Strategy for Orkla Associates

Orkla Associates primarily consists of Orkla's investments in the Renewable Energy Corporation ASA (REC) and Jotun AS. In both these investments, Orkla has an equity interest of approximately 40 %.

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Facts

  • Profit from associates was NOK 2,189 million in 2008.

 

 

Key personell

 

 

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