euro adhoc: GESCO AG / Restructuring & Recapitalisations / GESCO AG resolves cash capital increase GESCO AG successfully concludes cash capital increase without subscription right

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Disclosure announcement transmitted by euro adhoc. The issuer is responsible
for the content of this announcement.
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16.03.2007

Wuppertal, 16 March 2007 - Prime Standard listed holding company
GESCO AG has successfully placed 274,000 new GESCO shares with German
and international institutional investors via an accelerated
book-building transaction. This represents around 10 % of the current
share capital. The issue price was EUR 36.00 per share. The volume
amounted to EUR 9,864,000.00 million. Frankfurt investment bank
equinet acted as sole lead manager and sole bookrunner of the
transaction. Demand was significantly higher than the offer.

The Executive Board of GESCO AG has resolved, in agreement with the
Supervisory Board, to increase the company’s share capital using the
authorised capital by EUR 712,400.00 to EUR 7,859,800.00 by issuing
274,000 new bearer shares with a calculated portion of GESCO AG share
capital of EUR 2.60 per share at an offer amount of EUR 36,00 per
share, giving a total offer amount of EUR 9,864,000.00. The new
shares will be fully eligible for dividend payments for financial
year 2006/2007, i.e. from 1 April 2006. The shareholders’
subscription right is excluded under Section 5 para. 6 lit.c of the
Articles of Association as the new shares from the capital increase
against cash deposits are being issued at a price that is not
significantly lower than the stock exchange price and the total
number of shares issued using the authorised capital does not exceed
10 % of the share capital at the time of issue. The entry of the
capital increase into the commercial register at the district court
of Wuppertal and the authorisation of the new shares will be sought
immediately. Issue proceeds are intended to finance the acquisition
of further medium-sized industrials, as per the GESCO business model.

Important information: The information contained in this notification
is not for publication or transmission in Canada, Australia or Japan
and does not constitute an offer of the purchase of securities in
these countries. The issuing of shares and the distribution of this
notification and other information connected with the issuing in
certain legal systems may be subject to statutory restrictions and
anyone finding themselves in possession of documentation cited in
this notification or other information should be informed of and
observe all such restrictions. Non-observance of these restrictions
may constitute a violation of the Securities Trading Act of the legal
system concerned. This notification does not constitute an offer of
the purchase of securities in the United States of America. In the
United Kingdom, this notification will only be distributed to (i)
professional investors categorised as such under Article 19(5) of the
Financial Services and Markets Act 2000 (Financial Promotion) Order
2005, and (ii) companies and persons of high net worth categorised as
such under Article 49(2)(a) to (d) of the Order (such persons are
categorised as "qualified persons"). All securities referred to
herein are only available to qualified persons and order, offer or
agreement regarding the procurement, purchase or other method of
acquisition of such securities shall only be entered into with
qualified persons. Persons not categorised as qualified persons
should never act in respect of or trust in this notification or its
content. This notification does not constitute an offer of the
purchase of securities in Germany and is not classified as a sales
prospectus under the Securities Prospectus Act, the European
Commission directive No. 809/2004 of 29 April 2004 or any other
applicable legal provision governing the issue, offer and sale of
securities in Germany. The information contained in this notification
is not for transmission in the United States of America or within the
United States of America.

end of announcement euro adhoc 16.03.2007 09:06:34
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ots Originaltext: GESCO AG
Im Internet recherchierbar: http://www.presseportal.de

Further inquiry note:
Oliver Vollbrecht
Leiter Investor Relations
T.: +49(0)202 24820 18
info@gesco.de

Branche: Economy, Business & Finance
ISIN: DE0005875900
WKN: 587590
Index: CDAX, Classic All Share, Prime All Share
Börsen: Frankfurter Wertpapierbörse / official dealing/prime standard
Börse Berlin-Bremen / free trade
Hamburger Wertpapierbörse / free trade
Baden-Württembergische Wertpapierbörse / free trade
Börse Düsseldorf / free trade
Bayerische Börse / free trade