NKT is investing in additional production capacity and capabilities at its medium-voltage factories in Denmark, Sweden and Czech Republic. The medium-voltage power cable market has grown steadily in recent years driven by the transition to renewable energy and the continued electrification of societies. Electrical grid operators are in the process of conducting major upgrade projects to keep apace.

To satisfy this growing demand and maintain a strong position in the market, NKT is investing in additional medium-voltage capacity and capabilities. The investments are spread across three of NKT's production sites in Asnaes, Denmark; Falun, Sweden and Velke Mezirici, Czech Republic. The investments in Falun and Velke Meziric have started while the investment in Asnaes is now initiated.

The investments across the three sites will expectedly amount to approximately EUR 100 million and will strengthen NKTs market leading position. The new production capacity is anticipated to be progressively operational in 2025 and 2026 and the investments will lead to the additional recruitment of around 150 new colleagues. The investments are expected to support NKT?s medium-term financial ambitions including delivering RoCE above 20%.

Further, according to the International Energy Agency (IEA), reaching national climate goals requires adding or refurbishing a total of more than 80 million kilometers of power grids by 2040, the equivalent of the entire existing global grid. According to European Union estimates, Europe will need to invest EUR 584 billion to upgrade its power grids this decade. About Applications: Applications is an NKT business line focused on low- and medium-voltage power cable solutions; Applications?

six main production sites are located across Czech Republic, Denmark, Poland, Sweden and the UK. Each production site is focused on one or more market segments; Applications employs approximately 1,500 people across Europe and realized revenues (in std. metal prices) of EUR 638 million in 2023.