Press Release

October 30, 2001

C Technologies to acquire Anoto and implement a new share issue raising SEK 450 million

C Technologies will acquire all Ericsson’s Anoto shares to be paid in C Technologies stock thereby making Anoto a wholly owned subsidiary. At the same time C Technologies will implement a new share issue directed at major shareholders and large investors. The previously advised agreement with Penmex is cancelled and the new share issue discontinued. The Board intends to propose that the corporate name will be changed from C Technologies AB to Anoto AB.

The Board is continuously evaluating the long term development and financing of the Company and is firmly convinced that the resolve to carry out a merger of Anoto and C Technologies is most important and will result in a positive effect on the Company. This view has also been communicated by the Company’s major shareholders. A merger had scarcely been possible within the foreseeable future should Anoto have completed the new share issue directed at Penmex. The Board of C Technologies and Anoto has, on condition that authorisation is granted by the General Meeting of Shareholders, therefore determined the following:
- Acquisition of Ericsson’s share in Anoto
- C Technologies will acquire Ericsson’s 30 per cent share in Anoto which will be paid in
- 13.825.339 new shares, thereby making Anoto a wholly owned subsidiary. Ericsson becomes
- C Technologies’ largest shareholder.

Directed new share issue totalling SEK 450 million C Technologies is implementing a directed new share issue at among others Ericsson, Capital Group, Christer Fåhraeus, 4:e AP-Fonden, 6:e AP-Fonden, Banco Fonder, Länsförsäkringar, Robur fonder, SIF, Skandia Fonder and Finn Rausing. The shares are issued at a rate that shall correspond to the calculated average price paid for the Company’s shares at OM Stockholm Exchange during a period of five banking days as of today the 30th day of October 2001 up and until the 5 th day of November 2001, however not less than SEK 15 and not exceeding SEK 30. The exact number of new shares cannot be determined until the issue price has been established. Should the issue price be set according to yesterday’s closing price, i. e. SEK 25.30, the issue would comprise approx. 17.8 million shares corresponding to, together with the 13.825.339 shares emitted to Ericsson in order to finance the acquisition of the shares in Anoto, approx. 41 per cent of the share capital of C Technologies subsequent to the new share issue. C Technologies three major shareholders subsequent to the new share issue would thus be Ericsson (24 %), Capital Group (12 %) and Christer Fåhraeus (10 %).

Cancellation of agreement with Penmex
Anoto’s previously planned new share issue directed at among others the Mexican investment group Penmex is discontinued. Also the industrial agreement with Penmex is cancelled. No claims for damages will be presented by Penmex.