Management changes at Effnet Group AB
8/9/2002 9:30 AM EST
Örjan Grinndal has decided to leave his post as CEO of Effnet Group AB.
Effnet board member Göran E Larsson will be appointed acting CEO.
Executive Vice President Marika Philipson has also chosen to leave the
company. Hans Runesten, also an Effnet board member, will be appointed
acting Executive Vice President. Both will assume their positions on
August 15.
"Effnet's current management has done an excellent job with the focusing
of business operations, market-orienting of the organization, as well as
cost cutting. The board regrets Örjan's decision to leave the company,"
comments Magnus Ryde, chairman of Effnet Group AB.
"As a board member I have, over the past year, followed how the company
has struggled for its commercial breakthrough in an exceptionally trying
market," comments Göran E Larsson.
"The market situation for Effnet will, of course, continue to be tough.
However, one should bear in mind that Effnet has a unique position as
the only independent commercial source of the necessary compression
software for the next generation of mobile networks. For our customers
in infrastructure and terminals, Effnet's products will therefore be
necessary down the line, " continued the CEO-elect.
Effnet made an important breakthrough into the Japanese market in July
2002 when NEC signed a licensing agreement for Effnet's technology. This
is an important milestone that is showing the way for additional
agreements in this important telecom market.
"Development in the 3G area in Europe shows that operators must address
their costs for the new networks. More and more operators and suppliers
in the U.S., Japan, and Europe have realized that the RoHC technology is
a powerful way to reduce costs of next-generation mobile networks," says
Örjan Grinndal.
Örjan Grinndal and Marika Philipson will remain at the company to secure
the transition. Grinndal and Philipson will then serve as advisers to
Effnet's board and new management until the end of the year.
Göran Larsson, who holds degrees in engineering and business
administration, serves on the boards of Effnet as well as three other
software companies: O-listed ReadSoft AB (chairman), unlisted QlickTech
International AB (chairman), and ipUnplugged AB. In addition, Göran
serves on the boards of three other technology companies. Göran has for
many years played an operative role in the change processes at
technology and service companies, most recently as the CEO of
Tidningarnas Telegrambyrå AB during its restructuring 1999-2000, and
earlier as CEO of Micronic Laser Systems AB during its expansion phase
1996-97 and as the chairman/CEO of Standard Radio AB during its
restructuring 1991-96.
Hans Runesten, who holds a degree in business administration, is on the
board of directors of Effnet and today works for ScanBaltic Ltd as a
consultant on mergers & acquisitions, venture capital, restructuring,
and general management issues. Primarily, he has broad international
experience from the finance sector and has worked for Deutsche Bank AG,
Mellon Bank NA, and EuroNordic Corporate Finance Ltd. Hans has recently
implemented restructurings of a couple of unlisted companies.
About Effnet
Effnet develops and sells embedded software that increases the
efficiency, speed and security of IP traffic on fixed and mobile
networks to manufacturers of network products. Effnet techniques enable
optimal performance for IP packet processing. The company was founded by
leading researchers in the Header Compression field and has operations
in Stockholm, Sweden and Tucson, Arizona. Effnet Group AB is quoted on
the New Market in Sweden (symbol: EFFN). More information can be found
at www.effnet.com.
For more information, please contact:
Magnus Ryde +1-408-262-3448, +1-408-221-8941, +46-(0)70-222 0611
Göran E Larsson +46-(0)8-54497990, +46-(0)705-65 68 69
Örjan Grinndal +46-(0)8-564 605 50, +46-(0)709-57 53 75