Eltek ASA

The Board of Directors of Eltek unanimously recommends a voluntary cash offer from Delta to acquire all of the shares of Eltek

(Drammen, Norway, 15 December 2014) The Board of Directors of Eltek ASA ("Eltek"; OSE ticker code: "ELT") announces an agreement with Deltronics (Netherlands) B.V. (the "Offeror"), a wholly owned subsidiary of Delta Electronics, Inc., whereby the Offeror will offer to acquire all of the shares of Eltek through a voluntary cash offer of NOK 11.75 per share. The Board of Directors of Eltek recommends the shareholders of Eltek to accept the offer.

The Offeror and Eltek have entered into a transaction agreement regarding an acquisition of Eltek by the Offeror. Under the terms of the agreement, the Offeror will put forward a recommended voluntary cash offer (the "Voluntary Offer") pursuant to the Norwegian Securities Trading Act for all of the shares of Eltek.

Deltronics (Netherlands) B.V. is a 100% owned subsidiary of Delta Electronics, Inc., which was founded in 1971 and is the global leader in power and thermal management solutions. Delta Group's mission is "To provide innovative, clean and energy-efficient solutions for a better tomorrow," which guides its core business in developing innovative energy-saving products and solutions in the categories of power electronics, energy management, and smart green life. Delta Group is looking forward to extending its business operations and sales offices worldwide through the merger with Eltek.

"This transaction is very positive for Eltek and its stakeholders. Through a combination with Delta, Eltek becomes an even stronger force in the power conversion industry. In addition, the Voluntary Offer represents highly attractive value creation for Eltek's shareholders", says Erik Thorsen, Chairman of the Board of Directors of Eltek.

The consideration offered will be NOK 11.75 per Eltek share (the "Offer Price"). The Offer Price represents a premium of approximately 20.3% to the closing share price of Eltek on Friday 12 December 2014. The Offer Price represents a premium of approximately 35.1% compared to the closing share price of Eltek on 30 October 2014, the last trading day prior to the announcement regarding Eltek's evaluation of strategic options for the future development of Eltek, and a premium of 34.7% compared to the one month volume weighted average share price of Eltek for the period ending on 30 October 2014. The Voluntary Offer values the total share capital of Eltek at approximately NOK 3.87 billion.