VIISNURK                        ANNOUNCEMENT                        02.06.2005



AGREEMENT SIGNED FOR SALE OF MAJORITY STAKE IN AS VIISNURK



The Supervisory Board of AS Viisnurk today announced that its major shareholder

Baltic Republics Fund has agreed to sell its 59.47% stake in the company to OÜ

Trigon Wood. The transaction is expected to close on June 3rd 2005.



AS Viisnurk is a wood processing company with over half a century's experience in

adding value to wood. Viisnurk's main operations are carried out by two

divisions. The furniture division manufactures and distributes wooden household

furniture of unique design. The building materials division produces and markets

two softboard-based product categories: insulation and soundproofing boards and

interior finishing boards for walls and ceilings. In addition to Estonia, the

company's target markets include the Nordic countries, Western and Central Europe

and Russia. Its customers and business associates are recognised representatives

of their area who have opted for long-term relations with AS Viisnurk.

 

Toivo Kuldmae, CEO of Viisnurk, said that the change of majority ownership will

not change Viisnurk's  plans for either of its divisions and will open up new

development opportunities for the company.

 

The buyer, OÜ Trigon Wood, previously known as OÜ Trigon RED Finance,  is a

company owned by TDI Investments Ky (Finland) and BCB Baltic AB (Sweden),

parallel investment vehicles jointly known as Trigon Direct Investments. Trigon

Direct Investments, advised by AS Trigon Capital, is a venture capital fund set

up in 2004. The purpose of the fund, which manages the capital of wealthy

Scandinavian private individuals, is to invest in promising companies in Central

and Eastern Europe. It has made previous investments in Poland and Russia.



Joakim Helenius on behalf of OÜ Trigon Wood said that there are no plans to

discontinue any of Viisnurk's existing business lines. The agreements and

obligations toward customers and employees will not be affected by the sale of

the majority holding.



The seller, Baltic Republics Fund, managed by Société Générale Asset Management,

has been investing in Private Equity in Baltic countries since 1994.The Baltic

Republics Fund, first invested in AS Viisnurk in 1995, buying a majority stake at

the time of the company's privatisation. Since then the Baltic Republics Fund has

played a key role in the company's development, in particular in its Initial

Public Offering in 1997.



Claire Chabrier, Baltic Republics Fund representative, said "we are pleased that

the Baltic Republics Fund has been able to work closely with the management of

Viisnurk over several years. The company is know in a sound financial position

and ready for further developments. We are selling our investment to a new

shareholder who is well equipped to support the company in a promising future".





Further information:

Claire Chabrier

Société Générale Asset Management

Phone:  +33 1 56 37 15 45





Andrus Aljas

Member of Management Board

+372 447 8355