Homeco intends to apply for a listing on Euronext Oslo Børs

11 May 2026 08:07 CEST

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Sandnes, 11 May 2026: Homeco AS (to be converted to a public limited company and
renamed Homeco ASA prior to the Listing (as defined below)) (the “Company”, and
including its consolidated subsidiaries, the “Group” or “Homeco”) today
announces its intention to apply for a listing of its shares on Euronext Oslo
Børs (the “Listing”).

The Group is a leading retailer of home- and kitchenware in Norway and Sweden
with highly recognised retail chains and online stores, supported by centralised
sourcing, logistics and product development. The Group owns and operates three
retail chains, Kitch'n and Tilbords in Norway, and Cervera in Sweden. As of
today, the Group has a total of 276 stores in its network, including 40
franchise stores, supported by six online platforms with over 50 million web
visits annually.

Homeco believes it holds the leading position within branded kitchenware in both
countries, and management estimates that its segment share of revenues in 2025
is approximately 47% in Norway and approximately 27% in Sweden. In addition to
its retail operations, the Group sources own-brand and agency products through
its wholly owned subsidiary, Home Brands, which also serves as a supplier to
external customers.

Tore Thorstensen, Chairperson, comments:
“With a strong development across our three retail chains – Kitch’n, Tilbords
and Cervera – Homeco has delivered impressive progress over recent years.
Following the successful integration of the Swedish segment leader Cervera,
Homeco is now firmly established as the leading retailer of branded kitchenware
in both Norway and Sweden. After a period of significant investments, a listing
on Euronext Oslo Børs represents a natural next step and a solid platform for
continued profitable growth and solid cash flow generation allowing for
attractive shareholder distributions, supporting Homeco’s development as a
listed company.”

Odd Sverre Arnøy, CEO, comments:
“We are proud to have built a robust, market leading retail group with 276
attractive stores across Norway and Sweden, offering high quality products and
supported by an efficient purchasing and logistics platform. Our business model
is scalable, and we have clear ambitions for continued high growth, margin
expansion and significant shareholder value creation. Growth and margin
expansion will be driven by new store openings, expanded assortment and
increased online and omnichannel sales combined with disciplined cost control
and operational efficiency.”

Homeco’s scale, including the largest store network and most visited web-stores
in both Norway and Sweden for branded kitchenware, makes the Group an attractive
partner for leading kitchenware brands in Europe, enabling access to attractive
products that support Homeco’s position as a preferred destination for consumers
across all core kitchenware product categories in both countries. The Group also
benefits from predictable seasonal buying patterns and long term consumer trends
such as increased home cooking and focus on healthy living.
The Group has a long track-record of profitable growth. In 2025, it generated
NOK 3,398m in revenue, up 12% from 2024, and an EBIT of NOK 224m. Revenue was
split between NOK 3,156m from retail operations and NOK 242m from sale of own-
and agency-brand products to external customers. Homeco is well balanced across
channels, with 56% of retail revenue generated in stores and 44% through omni
and online channels in 2025. Geographic exposure is also balanced, with 56% of
Group revenue generated in Norway and 44% in Sweden in 2025. Home Brands’
portfolio of six own brands and 48 agency brands accounted for 21% and 15% of
retail revenue in 2025, respectively, contributing positively to the Group’s
segment position and profitability.

Homeco’s strong financial development has continued in 2026, with revenue growth
of 7.6% in Q1 2026 compared to Q1 2025, and with further gross margin
improvement and cost efficiencies contributing to EBIT for the 12-month period
ending 31 March 2026 increasing to NOK 250m (EBIT margin 7.3%), excluding NOK
5.8m in costs related to the Listing process.

The Group’s operations are supported by an efficient and scalable distribution
setup with capacity to handle future growth without significant additional
costs. The Group also has a lean central organisation and an experienced
management team that has worked within Homeco (including acquired companies) for
an average of approximately twelve years, supported by a board with deep retail
experience.

Going forward, the Group targets high single digit annual revenue growth and
double digit EBIT margin over the medium term. Growth is expected to be driven
by continued segment share gain, planned opening of new stores, including more
than 20 new stores in Sweden, and expansion into the B2B segment. Margin
improvement is expected to come from continued active gross margin management,
hereunder from a modest increase in share of own brands, and from leveraging a
distribution set-up and organisation scaled for further growth.

The Group has an attractive financial profile, combining a robust business model
with strong revenue growth, margin expansion and solid cash generation. Based on
this, Homeco has adopted a dividend policy with a targeted pay-out of 80-100% of
net profit after statutory taxes annually.

The Company is prior to the Listing owned by Dalema Invest AS (controlled by Dag
Leo Vestre Martinsen together with family) with c. 33%, Ewa Holding AS
(controlled by Wiggo Erichsen) with c. 31%, Annual Classic AS and Vålerveien 229
AS (both controlled by Tore Thorstensen together with family) with combined c.
33%, and with the remaining c. 3% owned by among other employees. CEO Odd Sverre
Arnøy owns c. 2.9% including c. 0.8% directly through wholly owned Lanesra 14 AS
and c. 1.8% and c. 0.3% indirectly through Lanesra AS’ minority holdings in Ewa
Holding AS and Rolv AS, respectively. The ownership structure of the Company
will be altered by the Offering, if completed, as further outlined under Listing
highlights below.

Subject to the completion of the Listing, Homeco’s board of directors is
expected to comprise Tore Thorstensen (chairperson since 2016), Dag Leo Vestre
Martinsen (board member since 2020), Susanne Tollefsen Log (board member since
2025), Hege Bømark and Anders Fjeld. Hege Bømark, who among other is a current
board member at Europris ASA, and Anders Fjeld, CEO of Sport Holding AS and
former CEO of Kid ASA, are expected to serve as board members from and subject
to the completion of the Listing.

COMPANY HIGHLIGHTS
* SIGNIFICANTLY OUTPERFORMING A LARGE AND ROBUST KITCHENWARE MARKET: The Group
has materially outperformed the core kitchenware market in both Norway and
Sweden. In Norway it delivered a revenue CAGR of approximately 10.4% between
2023 and 2025, compared to market growth of around 3.1% (3x market growth). In
Sweden, the Group has also exceeded market performance, achieving growth of
approximately 2.2% versus market growth of 0.9% (>2x market growth).
Furthermore, in 2025, Homeco reported revenues of NOK 3.4bn, representing +12%
year-on-year growth, supported by favourable demand dynamics in a large and
resilient core kitchenware market estimated at approximately NOK 16bn across
Norway and Sweden.

* NO. 1 ACROSS ALL SALES CHANNELS, WINNING THE BRANDED KITCHENWARE CUSTOMERS:
The clear No. 1 branded kitchenware player in both Norway (c. 47% segment share)
and Sweden (c. 27%), with strong positioning across physical stores, online and
omnichannel. Its store network and online position with c. 50m website visits in
2025, makes it the largest player in its segment in all sales channels. In 2025,
32% and 12% of the revenues came from online and omnichannel, respectively.

* SCALE AND EFFICIENT, AUTOMATED OPERATIONS DRIVING SUSTAINED MARGIN EXPANSION:
Scale and a centralised operating model have driven consistent margin
improvement. Group gross margin increased from 39.3% in 2023 to 42.1% in 2025,
supported by centralised procurement, with strong focus on margin management,
and a steadily increasing share of own and agency brands.

* STRONG FINANCIAL PROFILE WITH COMBINATION OF GROWTH, MARGIN EXPANSION AND CASH
GENERATION: The Group combines high growth with margin expansion, delivering
EBIT of NOK 224m in 2025, corresponding to a 6.6% EBIT margin, up from NOK 119m
and 3.9% in 2024. The positive development continued into 2026 with an LTM Q1
2026 EBIT of NOK 250m and EBIT-margin of 7.3%, both excluding NOK 5.8m in costs
related to the Listing process. The Group is an asset light business and
well-invested with limited capex requirements and delivered cash conversion
(defined as EBITDA excl. IFRS16 – Capex / EBITDA excl. IFRS16) of 82% in 2025.

* PLATFORM AND LEVERS SUPPORTING CONTINUED HIGH GROWTH AND DOUBLE DIGIT EBIT
MARGIN AMBITION: The Group targets high single digit revenue growth and a double
digit EBIT margin mid term, supported by clear and actionable levers. These
include new store openings focused on Sweden, continued franchise conversions,
further mix shift towards higher margin own brands, and operating leverage from
a scalable distribution and central cost base already built for growth.

* DEDICATED AND HIGHLY EXPERIENCED MANAGEMENT TEAM SUCCESSFULLY GROWING HOMECO:
Led by an experienced management team with an average of c.12 years tenure
within the group and c. 24 years of relevant experience. The team has a proven
track record of delivering profitable growth, integrating acquisitions, scaling
operations and expanding margins across multiple market cycles.

FINANCIAL HIGHLIGHTS
Homeco generated NOK 3,445 million revenue on an LTM Q1 2026 basis with an EBIT
margin of 7.3% (excluding NOK 5.8m in cost related to the Listing). In Q1 2026
revenue growth was 7.6% compared to Q1 2025. The Company has throughout the
period 2023 to Q1 2026 delivered solid above-market revenue growth combined with
margin expansion.

LISTING HIGHLIGHTS
In connection with the contemplated Listing, the Company intends to conduct a
new share issue of approximately NOK 100 million to strengthen an already robust
balance sheet and to maintain flexibility through working capital peak, as well
as to facilitate a secondary offering of existing shares on a pro rata basis by
the Company’s four largest shareholders, Dalema Invest AS, Ewa Holding AS,
Annual Classic AS and Vålerveien 229 AS (the “Offering”).

The Offering is expected to comprise a public offering to retail investors in
Norway, an offering to eligible employees in Norway as well as a private
placement directed towards institutional investors in Norway and
internationally. The Offering is furthermore expected to include a customary
over-allotment option for the Managers (as defined below).

Two cornerstone investors have undertaken to subscribe for and to be allocated
Offer Shares for a total amount of NOK 360 million in the Offering, subject to
certain conditions, and for a price per share of up to NOK 29, which is
equivalent to a pre-money equity value of the Company of approximately NOK 2,000
million adjusted for shares held in treasury by the Company. The cornerstone
investors are SpareBank 1 Forvaltning with NOK 210 million and DNB Asset
Management with NOK 150 million.

The offer to institutional investors will only be made (i) to certain
institutional investors outside the United States, pursuant to Regulation S
under the U.S. Securities Act of 1933, as amended (the “U.S. Securities Act”);
and (ii) in the United States, only to those reasonably believed to be qualified
institutional buyers in reliance on Rule 144A under the U.S. Securities Act.

Full terms, conditions and instructions for the Listing and Offering will be
included in the prospectus expected to be published by the Company prior to
commencement of the Offering.

The Company, Board of Directors, management and Selling Shareholders (all being
members of the board at the time of the Offering) will be subject to a 360-day
lock-up for their shareholdings, subject to customary exemptions.

Subject to required corporate approvals by the Company and receiving the
relevant approvals from Euronext Oslo Børs and the Norwegian Financial
Supervisory Authority, as well as prevailing equity capital market conditions,
the Offering and the Listing is expected to take place in Q2 2026.

ADVISORS
DNB Carnegie, a part of DNB Bank ASA, and Skandinaviska Enskilda Banken AB, Oslo
Branch, act as Joint Global Coordinators and Joint Bookrunners in the Listing
and the Offering, while SB1 Markets AS is acting as Joint Bookrunner
(collectively the "Managers"). Advokatfirmaet Thommessen AS acts as legal
advisor to the Company, and Advokatfirmaet Wiersholm AS acts as legal advisor to
the Joint Global Coordinators.

For queries, please contact:
Christina Moi, CFO & Investor Relations
+47 958 29 174, Christina.moi@kitchn.no

Media contact:
Jo Christian Lund-Steigedal, Partner in Corporate Communications AS,
+47 415 08 733, jcs@corpcom.no

IMPORTANT NOTICE
These materials do not constitute or form a part of any offer of securities for
sale or a solicitation of an offer to purchase securities of the Company in the
United States or any other jurisdiction. The securities of the Company may not
be offered or sold in the United States absent registration or an exemption from
registration under the U.S. Securities Act of 1933, as amended (the "U.S.
Securities Act"). The securities of the Company have not been, and will not be,
registered under the U.S. Securities Act. Any sale in the United States of the
securities mentioned in this communication will be made solely to "qualified
institutional buyers" as defined in Rule 144A under the U.S. Securities Act. No
public offering of the securities will be made in the United States.

Any offering of the securities referred to in this announcement will be made by
means of a prospectus. This announcement is an advertisement and is not a
prospectus for the purposes of the EU Prospectus Regulation. Investors should
not subscribe for any securities referred to in this announcement except on the
basis of information contained in the aforementioned prospectus, if a prospectus
is published. Copies of any such prospectus will, following publication, be
available from the Company's registered office and, subject to certain
exceptions, on the website of the Company. The expression "EU Prospectus
Regulation" means Regulation (EU) 2017/1129 of the European Parliament and of
the Council of 14 June 2017 (together with any applicable implementing measures
in any Member State).

In any EEA Member State, other than Norway, this communication is only addressed
to and is only directed at qualified investors in that Member State within the
meaning of the EU Prospectus Regulation, i.e., only to investors who can receive
the offer without an approved prospectus in such EEA Member State.

In the United Kingdom, this communication is only addressed to and directed at
qualified investors who are (i) investment professionals falling within Article
19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) Order
2005 (as amended) (the "Order") or (ii) persons falling within Article 49(2)(a)
to (d) of the Order (high net worth companies, unincorporated associations,
etc.) (all such persons together being "Relevant Persons"). This communication
are directed only at Relevant Persons and must not be acted on or relied on by
persons who are not Relevant Persons. Any investment or investment activity to
which this announcement relates is available only to Relevant Persons and will
be engaged in only with Relevant Persons. Persons distributing this
communication must satisfy themselves that it is lawful to do so.

Matters discussed in this announcement may constitute forward-looking
statements. Forward-looking statements are statements that are not historical
facts and may be identified by words such as "anticipate", "believe",
"continue", "estimate", "expect", "intends", "may", "should", "will" and similar
expressions. The forward-looking statements in this release are based upon
various assumptions, many of which are based, in turn, upon further assumptions.
Although the Company believes that these assumptions were reasonable when made,
these assumptions are inherently subject to significant known and unknown risks,
uncertainties, contingencies and other important factors which are difficult or
impossible to predict and are beyond its control. Such risks, uncertainties,
contingencies and other important factors could cause actual events to differ
materially from the expectations expressed or implied in this release by such
forward-looking statements. The information, opinions and forward-looking
statements contained in this announcement speak only as at its date, and are
subject to change without notice.

This announcement is made by, and is the responsibility of, the Company. The
Managers are acting exclusively for the Company and no one else and will not be
responsible to anyone other than the Company for providing the protections
afforded to their respective clients, or for advice in relation to the contents
of this announcement or any of the matters referred to herein.

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