Nordic Waterproofing Holding A/S (STO: NWG.ST) has signed an agreement to acquire a production plant for prefabricated roofing and facade elements, by means of an acquisition of assets, from Ugilt Savværk. The unit has 40 employees in northern Jutland and sales for 2017 are estimated at SEK 50 million. The acquisition forms part of the strategy to make Taasinge Elementer a major player in the Nordic market for prefabricated roofing and façade elements.
With the acquisition of Ugilt's production unit, Nordic Waterproofing strengthens its production of high-quality prefabricated wooden roof and facade elements, currently conducted under the name Taasinge Elementer. Taasinge Elementer currently has two production units in Denmark and one in Latvia, with the construction industry as the principal customer category. Taasinge Elementer has annual sales of about SEK 150 million and 115 employees.
"Ugilt's operations form a significant part of our expansion plans for the Nordic market. The geographic location provides us with cost-efficient transport to both Norway and Sweden. The Sindal facility is modern and of a high standard and its staff have the skills required to ensure efficient production for the type of construction components in which Taasinge is the market leader," says Martin Tholstrup, Business Unit Manager for Taasinge Elementer.
The purchase consideration amounts to DKK 18 million and is being financed through Nordic Waterproofing's available cash and bank balances. The acquisition is expected to be consolidated into the Products & Solutions segment as of 4 January 2018. The acquisition is not expected to affect the Group's earnings materially in 2018. Acquisition-related expenses in the form of consultant fees amount to approximately SEK 1 million and this will be recognized in the income statement for the fourth quarter of 2017.
This information was submitted for publication at 10:30 a.m. CET on 20 December 2017.
This information was distributed by Cision http://www.cisionwire.se/