Lagercrantz Group acquires ISG Systems AB. This will allow ISG Systems to meet increasing demand for camera-based soluti

10/1/2003 4:04 AM EST

Lagercrantz Group acquires ISG Systems AB. This will allow ISG Systems
to meet increasing demand for camera-based solutions for surveillance of
traffic, seaports, cities, airports and public places

Lagercrantz Group AB has concluded an agreement to acquire all
outstanding shares in ISG Systems AB, Höganäs.

ISG Systems was established in 1993 and is one of Sweden's leading
suppliers of surveillance systems of traffic, seaports, cities, airports
and public places. The company has revenues of about MSEK 35 and 15
employees.

In recent years ISG has focused on acting as a systems integrator,
providing customized camera solutions for surveillance of traffic,
airports and seaports, but also to control product flows. With the
broadband infrastructure now widely available, it is technically
feasible and profitable to build new types of image transmission
systems. Among the systems delivered by ISG Systems are thus the
monitoring system for the so-called southern link highway system in
Stockholm, the ring road in Malmö and Arlanda Express.

Matts Lilja, President of ISG Systems AB says in a comment:

"With this structural deal, ISG gains access to the resources necessary
to deliver and develop new types of digital camera-based surveillance
solutions for different types of environments, and to do it with
sustained profitability."

Jan Friis, President and CEO of Lagercrantz Group, says in a comment:

"Together with ISG Systems we will become even stronger in the growth
area of industrial communications. The acquisition of ISG Systems is an
excellent fit with our ambition of being a growth-oriented, knowledge-
based company in electronics and communication."

The acquisition is expected to have positive impact on Lagercrantz
Group's earnings per share.

For further communication, contact:

Jan Friis, President & CEO, Lagercrantz Group AB, or
Mattias Sonnenfeld, Executive Vice President, Lagercrantz Group AB,
Telephone: +46-8-700 66 70

Matts Lilja, President, ISG Systems AB
Telephone: +46-42-36 21 40 or + 46-733-46 21 41