Finland-based GNT Becomes Largest IT Distributor in Nordic Countries

GNT Acquires Santech Micro Group

HELSINKI, FINLAND -- December 1st, 2005 -- GNT Group, the leading IT and consumer electronics wholesale distributor in Finland and the Baltic region, has signed an agreement for the acquisition of all shares of IT distributor group Santech Micro Group AS. The acquisition covers the SMG companies in Norway, Sweden and Finland. SMG's Supplies Team companies in Sweden and Norway and SMG Denmark are not included in the deal.

The combined pro forma revenue of GNT and SMG was approximately 1.3 billion euros in 2004. Pro forma revenue in 2005 is estimated at 1.5 billion euros. The agreement is pending approval by competition authorities. The sale price was not disclosed.

As a result of the acquisition, GNT becomes the largest IT distributor in the Nordic countries. The deal will expand GNT's operations into Norway and will make the company one of the leading IT distributors in Sweden. SMG's personnel in Norway, Sweden and Finland will transfer to GNT. The combined companies will employ approximately 1,000 people.

"GNT and SMG share a strong local market expertise, cost-efficient operations and a focus on value-added customer service. Combined, we are a major Nordic company that believes in local presence and management. Our own logistics in each country provide us with a significant competitive advantage, allowing us to serve our customers and vendors quickly and flexibly," said Mika Junnila, CEO, GNT Group.

"SMG has strong relations with a wide range of vendors and resellers in Sweden and Finland. When integrated with GNT's efficient processes and systems, we expect to see even stronger results and continued growth," Mr. Junnila continued.

On Tuesday, November 29th 2005, GNT Group announced the acquisition of Hot One Group, which distributes approximately half of the music recordings sold in Finland. Last year, the company's revenues were 28.5 million euros. The deal is pending approval by competition authorities.

Further information:
GNT Group
Mika Junnila, CEO
tel. +358 40 77 999 11
mika.junnila@gnt.fi

Media contacts:
Christina Forsgård, Netprofile Finland Oy
tel. +358 9 6812 080 or +358 40 571 9192
christina@netprofile.fi