Previously Proposed Dividends by Proact Withdrawn

In view of the uncertainty and impact that Covid-19 brings globally, and thus in all markets where Proact IT Group AB has operations, the board of directors proposes that the previously proposed dividend of SEK 4.15 per share (approximately SEK 38 million) be withdrawn in full. The board will therefore propose to the annual general meeting on next May 6 that no dividend be paid for the FY19.

Proact has a stable financial position with good liquidity and the board’s proposal is based solely on the uncertainty caused by Covid-19. The company is well positioned in a market that is also characterised by rapid change with a focus on digital transformation and innovation. This change is largely focused on data and information management, which is becoming increasingly business critical, and where Proact has been an established specialist.

As a result of Covid-19, the company has taken the operational measures that the situation requires focusing on being able to deliver products and services with maintained quality to its customers while ensuring the health of its employees, customers and partners.

At present, it is not possible to determine how large or long-lasting the effect Covid-19 entails. Consequently, the company prioritises cash flows and liquidity until the situation clears.