SF VII slhf.'s acqusition of shares in Kynnisferðir hf.

The Icelandic Competition Authority (ICA) has reviewed an investment by SF VII slhf. in shares of Kynnisferðir hf. The proposed investment will incur a change of control by involving SF VII in joint control over Kynnisferðir along with their current shareholders. SF VII is a private equity fund managed by Stefnir which is a fund management company and a subsidiary of Arion banki. Kynnisferðir is one of the largest tourist companies in Iceland, it operates a broad set of services in the industry such as bus tours and a travel agency.

It is the assessment of the ICA that the merger will raise impediments to effective competition. Therefore the merging parties have signed a settlement with the ICA and undergone certain commitments. The conditions of the commitments are intended to ensure the independence of Kynnisferðir from Arion banki and shareholders that hold shares in their competitors.