CEVA Group Plc Announces Successful Completion of Recapitalization of its Balance Sheet and New Capital Raise

• Transaction Strengthens Balance Sheet by Eliminating Approximately €1.3 Billion of Consolidated Net Debt; Approx. 50% 
• Reduces Annual Cash Interest Costs by over €130 Million; Approx. 50%
• Provides Over €230 Million of New Capital Infusion for Investment in the Company’s Business Plan

London, UK – 2 May 2013 – CEVA Group Plc (“CEVA” or the “Company”), one of the world’s leading non-asset based supply chain management companies, announced today that it has successfully completed its previously announced recapitalization.  

Through the recapitalization, the Company has reduced its consolidated net debt by approximately €1.3 billion, reduced its cash interest expense by over €130 million and the Company has received cumulative new capital commitments of over €230 million for investment in its business plan.

The recapitalization will enable CEVA to better serve its customers, accelerate its growth throughout the world and fund the development of new supply chain products and services.

“We are pleased to have successfully completed the Recapitalization and are appreciative of the support of our creditors in this effort. CEVA is now a much stronger competitor in the Supply Chain Industry and we look forward to growing with our customers around the world,” said Marvin O. Schlanger, CEVA’s Chief Executive Officer adding that “this is a transformational transaction that positions CEVA to better serve our customers and develop new supply chain solutions and services to meet their needs.”

CEVA - Making Business Flow
CEVA, one of the world’s leading non-asset based supply chain management companies, designs and implements industry leading solutions for large and medium-size national and multinational companies.  Approximately 50,000 employees in nearly 170countries are dedicated to delivering effective and robust supply chain solutions across a variety of sectors where CEVA applies its operational expertise to provide best-in-class services across its integrated network.  For the year ending 31 December, 2012, the Company and its subsidiaries reported revenues of €7.2 billion.  For more information, please visit www.cevalogistics.com

For more information contact:

Mike Darcy, Media Relations, CEVA
mike.darcy@cevalogistics.com
+31 622 482 604

Cautionary Statement
This news release is for information purposes only and does not constitute an offer to sell or the solicitation of an offer to buy any security and shall not constitute an offer, solicitation or sale of any securities in any jurisdiction in which such offering, solicitation or sale would be unlawful.  The offers to exchange the securities were only made pursuant to a confidential offering memorandum, consent solicitation and disclosure statement that CEVA distributed to eligible holders of its securities.  The new securities offered in the recapitalization have not been registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements of such Act. The private exchange offers were not made to holders of the securities in any jurisdiction in which the making or acceptance thereof would not be in compliance with the securities, blue sky or other laws of such jurisdiction.

This news release is directed only at persons (i) who are outside the United Kingdom or (ii) who have professional experience in matters relating to investments falling within Article 19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005, as amended (the “Order”) or (iii) who fall within Article 49(2)(a) to (d) of the Order or (iv) to whom this press release may otherwise be directed without contravention of section 21 of the Financial Services and Markets Act 2000 (all such persons together being referred to as “Relevant Persons”).  This news release is directed only at Relevant Persons and must not be acted on or relied on by persons who are not Relevant Persons.  Any investment or investment activity to which this press release relates is available only to Relevant Persons and will be engaged in only with Relevant Persons.

Safe Harbor Statement
This news release may contain forward-looking statements.  These statements include, but are not limited to, discussions regarding industry outlook, the Company’s expectations regarding the performance of its business, its liquidity and capital resources, its guidance for 2013 and beyond, and the other non-historical statements.  These statements can be identified by the use of words such as “believes” “anticipates,” “expects,” “intends,” “plans,” “continues,” “estimates,” “predicts,” “projects,” “forecasts,” and similar expressions.  All forward-looking statements are based on management’s current expectations and beliefs only as of the date of this press release and, in addition to the assumptions specifically mentioned in the above paragraphs, there are a number of factors that could cause actual results and developments to differ materially from those expressed or implied by these forward-looking statements, including the effect of local and national economic, credit and capital market conditions, a downturn in the industries in which we operate (including the automotive industry and the airfreight business), risks associated with the Company’s global operations, fluctuations and increases in fuel prices, the Company’s substantial indebtedness, restrictions contained in its debt agreements and risks that it will be unable to compete effectively.  Further information concerning the Company and its business, including factors that potentially could materially affect the Company’s financial results, is contained in the Company’s annual and quarterly reports, available on the Company’s website, which investors are strongly encouraged to review.  Should one or more of these risks or uncertainties materialize or the consequences of such a development worsen, or should underlying assumptions prove incorrect, actual outcomes may vary materially from those forecasted or expected.  CEVA disclaims any intention or obligation to update publicly or revise such statements, whether as a result of new information, future events or otherwise.