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Oriola-KD and Kesko to establish a chain of health, beauty and wellbeing stores across Finland

13.3.2017

Oriola-KD Corporation Stock Exchange Release 13.3.2017 at 09.00

Oriola-KD and Kesko to establish a chain of health, beauty and wellbeing stores
across Finland

Oriola-KD Corporation and Kesko Corporation start building a completely new kind
of store chain in Finland, specialising in comprehensive wellbeing. Companies
have signed an agreement to establish a joint venture company. The first phase
objective is to build a chain of 100 stores and an online store. In estimation
1000 new jobs will be created. First stores and the online store will be opened
during the fall 2017. The plan is to expand the business to include
pharmaceuticals if the legislation is amended.

Both parties to the agreement will have a 50 per cent ownership interest in the
new company to be established. In the first phase, Oriola-KD and Kesko will make
a total investment of approximately EUR 25 million in the new company to be
established. The first comprehensive wellbeing stores and the online store will
be opened in autumn 2017, and the target is to open a total of 15 stores by the
end of the year. In the first phase, the aim is to build a chain of 100 stores.

The establishment of the joint venture company is subject to the approval of the
competition authorities. The handling of the matter is expected to be completed
no later than the third quarter of 2017.

"In the joint venture, two strong and responsible Finnish operators combine
their forces. Kesko has extensive experience in the grocery trade and a strong K
consumer brand. Oriola-KD, for its part, is a highly valued distributor of
health and wellbeing products and an expert in the pharmaceutical sector.
Together with another Finnish, responsible company we will start building a
leading health, beauty and wellbeing chain in which Finnish people trust. Our
plan is, as legislation permits, to expand the business into selling
pharmaceuticals, without compromising on pharmaceutical safety, but emphasizing
service and expertise. The new store chain is estimated to create 1,000 new jobs
across Finland," says Eero Hautaniemi, President and CEO of Oriola-KD.

A briefing in Finnish today at 13.00
Kesko and Oriola-KD will hold a briefing today, Monday, 13 March 2017 at 13.00
at the Hotel Haven, Unioninkatu 17, Helsinki.

Further information:

Eero Hautaniemi, President and CEO, tel. +358 (0)10 429 2109
e-mail: eero.hautaniemi@oriola.com

Terhi Kivinen, Group Communications Director, tel. + 358 40 8484001, e-mail:
terhi.kivinen@oriola.com

Oriola-KD Corporation



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Nasdaq Helsinki Ltd
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