Deal Brief Industrials - Finelcomp
IMAP Finland Finelcomp Oy is acquired by Juuri Partners. Finnish listed (Nasdaq Helsinki) investment company Sievi Capital Plc and a minority owner sold 100% of the shares in Finelcomp to a private equity fund managed by Juuri Partners and to the company’s management.
Finelcomp develops and manufactures enclosures and fastening solutions for electrical and telecommunication systems. The company is the Finnish market leader with 50% market share and has a strong foothold in other Nordic countries. Employing 80 staff, it has a turnover of €16 million.
Under Sievi’s 3.5 year ownership period, Finelcomp managed to grow sales, increase production efficiency and profitability, execute a business succession plan, as well as launch an internationalization process.
Finelcomp operates in a Nordic niche market, offering a comprehensive selection of low voltage applications to manufacturers and the industry. The positive market trends driving an increase in demand for electrical enclosures are: urbanization, increased standards of living, new construction, renovation and rebuilding trends, digitalization and the developing economy.
The company’s EBITDA was €2.9 million and the debt free enterprise value of the transaction was €13.4 million, including the customary purchase price mechanism at the completion of the transaction.
Esa Kivi, CEO, Finelcomp:
"The joint ownership with Juuri Partners is an excellent solution. The company gets strategic support from Juuri Partners for the development of the business. We will continue to focus on product quality, reliability of deliveries and smooth co-operation with our vendors and partners. Our target is to continue growing in the future, especially in the export markets.”
IMAP Finland utilized its extensive industrial and private equity expertise in search of electrical enclosure market players and interested private equity groups in the Nordic market. There was a lot of investor interest due to excellent growth and the profitability profile of the company. After a structured M&A process the private equity company Juuri Partners together with management was chosen as the most preferred investor.
IMAP Finland advised Sievi Capital throughout the sale process.
