30/10-2018 07:00:00: (AXA) A solid quarter with strong capex deployment and margin expansion in a seasonally slow quarter
Axactor continues to grow and expand the business according to the companyŽs
proven strategy. In the third quarter of 2018 Axactor delivers a 397% EBITDA
growth compared to the same quarter in 2017. EBITDA ended at EUR 10.0 million
and Cash EBITDA at EUR 32.7 million in the third quarter of 2018. The
corresponding numbers for the same period in 2017 was EUR 2.0 million and EUR
6.2 million. The operating margin increased to 21% in the third quarter of 2018,
up from 10% in the third quarter last year.

Gross revenue for the third quarter of 2018 ended at EUR 56.5 million, compared
to EUR 23.6 million in the corresponding quarter last year. This means that
triple digit gross revenue growth is achieved for all three quarters so far in
2018.

To secure future growth, Axactor invested EUR 112.6 million in NPL and REO
portfolios during the third quarter of 2018, as well as signing two significant
3PC contracts in Spain. To reduce the companys funding cost, a refinancing deal
for the existing REO portfolios was closed with Nomura International plc,
freeing up a total of approximately EUR 96 million for new investments.

The running forward flow volume is currently at a level of close to EUR 15
million per month, and with new contracts signed during the third quarter, this
is expected to increase further through the fourth quarter of 2018 and into
2019. This volume will generate significant revenue for Axactor going forward,
and the pipeline for NPL portfolios remains strong across the Axactor
geographies.

The collection performance vs. original business case for NPL portfolios
continue the strong trend seen over the past quarters, with last twelve months
(LTM) numbers at the third quarter of 2018 coming in at 105%. When it comes to
the REO portfolios, these continue to liquidate quicker than initially
anticipated, and the LTM collection performance vs. original business case for
REO portfolios was 142% for the same period.

Despite the fact that the third quarter is negatively impacted by the summer
holiday in both Scandinavia and across Southern Europe, Axactor once again prove
its ability to continue the growth and increase the margins.

This emphasizes Axactors ability to deliver on our investments. It also proves
our strong and continued focus on scale benefits and how we are able to increase
the efficiency of the collection platforms through sharing of best practices and
know-how across the Group, says Endre Rangnes, CEO of Axactor.

Fresh news after the period Axactor enters the Finnish market
Axactor is about to enter Finland, as the company has agreed to acquire the
Finnish debt collection company SPT Group Ltd. (SPT), which will be AxactorŽs
platform in the Finnish market. Through this transaction a solid foundation for
becoming a significant player within the debt collection and debt purchase
market in Finland has been established. In Finland, Axactor meet many of the
same banks and financial institutions as in Sweden and Norway, which ensures
strong synergies across the Nordic countries.

In addition to the acquisition of SPT Group, Axactor are about to acquire the
companyŽs largest unsecured NPL portfolio so far. The portfolio is originated by
Bank Norwegian in Finland and contains unsecured consumer claims with a total
outstanding balance of approximately EUR 160 million, across more than 16,000
thousand credit card and personal loan accounts. This portfolio acquisition
exceeds the Bank Norwegian deal in Sweden in 2017, increases Axactors ERC by
15% and secures AxactorŽs entry to the Finnish market by generating an immediate
revenue stream for the new platform in Finland.

We are very pleased to enter the Finnish market, and to acquire our largest
unsecured NPL portfolio supporting a good start in this new, exciting market.
Now we will do exactly the same in Finland as we have done in the other
countries we have business; establish a scalable platform and standardized
systems and procedures to ensure maximum efficiency and low IT costs, which is
an essential part of Axactor's proven strategy and success recipe, says Johnny
Tsolis.

For further information regarding the acquisitions in Finland, please see
separate announcements and AxactorŽs 3rd quarter presentation.

For additional information, please contact:
Endre Rangnes, CEO Axactor
Mobile phone: +47 482 21 111
Email: endre.rangnes@axactor.com

or

Johnny Tsolis, CFO Axactor
Mobile phone: +47 913 35 461
Email: johnny.tsolis@axactor.com
www.axactor.com

About Axactor
Axactor Group specializes in both Debt Collection and Debt Purchasing across
several countries, with operations in Italy, Germany, Norway, Sweden and Spain.
The company has a Nordic base and an ambitious Pan-European growth strategy,
which targets the market for non-performing loans (NPL) in Europe. This market
is estimated to be about 1,500 billion euros across Europe providing significant
opportunities for Axactor's future expansion. Axactor has approximately 95

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