At an extraordinary general meeting (EGM) in October, stockholders approved a plan by Metso Corp.'s board of directors to split Metso into two companies. Metso's pulp, paper and power business will be transferred to the new company, Valmet Corp., and the mining, construction and automation businesses will remain part of Metso. The decisions of the EGM will be effective as of the registration date for the completion of the demerger, which is expected to be Dec. 31, 2013, when the terms of office of the new boards of directors will also start.
Company spokesmen say that under the demerger plan, all of Metso's assets, debts and liabilities relating to Metso's pulp, paper and power business will be transferred to the new company, Valmet Corp., that will be formed in the demerger. Metso's mining and construction business and automation business will remain part of Metso. Following the demerger on Dec. 31, 2013, Valmet will be a separate, independent, publicly listed company.
As part of the demerger decision, the Extraordinary General Meeting approved Valmet's Articles of Association and decided to reduce Metso's share capital by an amount equivalent to Valmet's share capital, in other words by €100 million to €141 million. The capital represented by the reduction in Metso's share capital will used to distribute funds to Valmet.
Metso is a global supplier of technology and services to customers in the process industries, including mining, construction, pulp and paper, power, and oil and gas.