HABO, Sweden, March 15, 2018 /PRNewswire/ --
To strategically strengthen and consolidate the Fagerhult
Group's position in the professional lighting market as well as
adding a unique range of complementary products, Fagerhult has
signed an agreement to acquire 100% of the shares of Veko
Lightsystems International B.V., (Veko), a company based in
Schagen, the Netherlands. The
acquisition is expected to have a positive effect on the earnings
per share during 2018 and forward.
Veko designs and manufactures linear LED lighting solutions, LED
modules and luminaires with integrated or stand-alone lighting
controls primarily for the light industrial segment. Typical
application areas include warehouses and distribution centres where
we see an increased activity due to e-commerce, plus data-centres,
workshops and sports facilities. The company has successfully
established a strong sales presence in the Netherlands, Germany, Belgium and the UK.
"Veko has high efficacy linear LED lighting solutions with
industry leading performance, as well as a design, manufacturing
and installation process that makes the specification of a complex
system as simple as possible. The company has delivered very strong
financial performance in recent years built upon a strong client
base in the Netherlands with
success in regional export markets. I am very pleased that Menno
Veldboer and Hans Aardenburg will continue to lead the company and
build on the strong platform that they and the Veko team have
built. With the addition of Veko to our Group we believe we can
accelerate Veko's export growth strategy by leveraging the
Fagerhult Group distribution network, initiating new application
areas, e.g. retail and education as well as capturing significant
procurement synergies", comments Johan Hjertonsson CEO Fagerhult
Group.
"The fact that Fagerhult wants to preserve the identity and
culture of Veko, so basically nothing changes for our employees and
customers, was one of the main reasons for us to make this
decision. We think Fagerhult will strengthen our position further
and will help us to reach our goal to become market leader in
warehouse lighting in Europe.", says Menno Veldboer,
Entrepreneur and Owner Veko.
In the year ending December 2017,
the company had 130 employees, sales of 37 MEUR and a profitability
rate significantly above that of the Fagerhult Group. Fagerhult
pays MEUR 31.5, on a cash and debt free basis, as an initial
payment for 100% of the shares of Veko Lightsystems International
B.V., pending approval from the German Competition Authority.
An additional earnout of MEUR 9.5 MEUR can be paid each year for
3 years from 2018 to 2020 tied to the company performance. Further,
an additional 5.0 MEUR earnout can also be paid based on the
cumulative performance from 2018-2020. The transaction is financed
with existing cash and new credit facilities. The deal is expected
to close during the 2nd quarter of 2018.
More information on Veko is available at www.veko.com
The information contained in this press release is such that AB
Fagerhult (publ) is required to disclose pursuant to the Swedish
Financial Instruments Trading Act and/or the Swedish Securities
Markets Act. The information was submitted for publication on
15 March 2018 at 16.00 CET.
Habo March 15, 2018
CONTACT:
Disclosures may be submitted by
Johan Hjertonsson CEO, mobile: +46-70-229-77-93 e-mail:
johan.hjertonsson@fagerhult.se
Michael Wood CFO, mobile: +46-73-087-46-47 e-mail:
michael.wood@fagerhult.se
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Fagerhult signs an
agreement to acquire Veko Lightsystems International B.V.,
2018-03-15
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SOURCE Fagerhult