UBS News Alert


UBS signs agreements to sell Motor-Columbus stake

Zurich, Basel | | Price Sensitive Information

UBS will sell its 55.6% stake in Motor-Columbus to a consortium of Atel's Swiss minority shareholders, EOS Holding and Atel, as well as to French utility Electricité de France (EDF). Corresponding agreements to this effect have been signed. The sale price has been set at CHF 1.3 billion, resulting in an estimated pre-tax gain for UBS of around CHF 350 million. The transaction must be approved by various national and international authorities and will not be completed until the beginning of 2006 at the earliest.

The transaction comprises the following key elements:

UBS is selling 281,535 bearer shares in Motor-Columbus - equivalent to its stake of 55.6% - at a price of CHF 4,600 per share.

A consortium of Atel's Swiss minority shareholders - EBM, EBL, the Canton of Solothurn, IBAarau and newcomers AIL Lugano and WWZ Zug - will purchase 14.7%, EOS Holding 16.4% and EDF 17.3% of Motor-Columbus's equity capital; the remaining 7.2% will be acquired by Atel.

The transaction must be approved by various national and international authorities.

The sale of UBS's stake in Motor-Columbus creates an opportunity to build a significant Swiss-European energy company with Swiss majority ownership. UBS expects a pre-tax gain of around CHF 350 million assuming the completion of the transaction in first quarter 2006. The gain will be reported in the "Industrial Holdings" segment of UBS.

Overview of buyers

Buyers

Number of shares

% of Motor Columbus equity capital*

Purchase price in CHF million*

Elektra Birseck Münchenstein (EBM)

14,531

2.9%

67

Elektra Baselland (EBL)

6,570

1.3%

30

Canton of Solothurn

16,615

3.3%

76

Industrielle Betriebe Aarau (IBAarau)

1,993

0.4%

9

Aziende Industriale Lugano (AIL)

24,408

4.8%

112

Wasserwerke Zug (WWZ)

10,461

2.1%

48

Consortium of Atel's Swiss minority shareholders

74,578

14.7%

343

EOS Holding

82,893

16.4%

381

Electricité de France (EDF)

87,644

17.3%

403

Aare-Tessin AG für Elektrizität (Atel)

36,420

7.2%

168

Total

281,535

55.6%

1,295

* Rounded figures


Zurich / Basel, 30 September 2005
UBS