Source:          Farmos Press Release

Acquisition strengthens Farmos in the Baltic States

Farmos Ltd is the leading Finnish manufacturer of cleaning, disinfectant and industrial chemicals for professional customers.  On August 20 2007, Farmos Ltd acquired SIA Neobalt Grupa, a Latvian company in the hygiene and cleaning sector.

This acquisition strengthens Farmos’s market position throughout the Baltic States, since Neobalt operates also in Estonia and Lithuania.

"Neobalt’s leading market position in Latvia and its high level of expertise in hygiene supports our business objectives in the Baltic States," says Juha Saarinen, Managing Director of Farmos Ltd.  "Farmos aims to become the leading provider of hygiene solutions in its principal market areas - Finland, the Baltic States and Russia.  This acquisition supports our strategy of growth in food, kitchen and hospital hygiene and in professional cleaning throughout the Baltic States," he adds.

Neobalt, founded in 1998, was acquired by Farmos from its management, who together with the rest of the personnel now become Farmos employees.  The Neobalt business will be merged with the existing Farmos Baltic’s business into an organisation covering all the Baltic States.

Farmos Ltd

Farmos Ltd. Is the leading Finnish manufacturer of cleaning, disinfection and industrial chemicals intended for professional customers and of retail hygiene products.  Farmos serves customers in all sectors where cleanliness is required.  Farmos has a turnover of about €40m and some 260 employees.  Farmos Ltd. Is part of the LUMENE Group, a leading Finnish company in the techno chemical industry.

SIA Neobalt Grupa

Neobalt Grupa is a leading company in the hygiene and cleaning sector in Latvia.  Its principal customer groups are in the food industry and in the healthcare, cleaning and catering sectors.  Founded in 1998, the company has subsidiaries in Estonia and Lithuania and employs 13 people.