Inission established in Norway through the acquisition of Simpro Holding AS

Fr. l. Stefan Westberg, Olle Hulteberg, Olav Sigurd Kvaale, Erik Dragset and Björn Wiggen.

Inission is now establishing itself on the Norwegian market through the acquisition of Simpro Holding AS, Norway’s fifth largest contractor in electronics. Simpro is located in Norway’s technology center Trondheim, and Inission’s board believes that enhanced cooperation across national borders is beneficial to all parties.

Geographic proximity to customers is an important part of Inission’s strategy and today Inission has several Norwegian customers. It is therefore logical that an establishment takes place in the Norwegian market and in Norway’s technology center Trondheim in particular. A greater Nordic cooperation can create major benefits for several of Inissions and Simpro’s customers. Through the acquisition, Simpro’s customers now have access to a whole new dimension of production capacity, wider skills and greater flexibility. The offer also includes Inission’s highly efficient factory in Estonia.

– This is an important milestone in Inission’s development, and it is inspiring to get into the Norwegian market through such a good acquisition. Simpro is a well-managed company and we have had an excellent cooperation with the company prior to the acquisition. I am therefore convinced that this will lead to great development opportunities for all involved, says Fredrik Berghel Inission CEO.

About Simpro Holding AS
Simpro Holding AS consists of Simpro AS in Lökken and Noca AS in Trondheim. In 2017, Noca and Simpro had a combined revenue of 184 MNOK with a profit after financial items of 6,6 MNOK. Simpro’s business concept, is like Inission’s, contract manufacturing in advanced electronics. The company has reference customers in offshore, defense, medtech and industry – all for Inission interesting segments. Simpro’s customers are found throughout the range from local actors to multinational groups. In common, everyone is a world leader in their respective areas. Simpro is in a growth phase, and it is Inission’s conviction that this will lead to further growth, preferably across national borders.

– Salvesen & Thams have supported Simpro’s development for many years and we believe that Inission, with its Nordic platform, can develop the company and be a good owner. For us as a seller, it´s important that Simpro is given the opportunity to continue its growth as it has positive effects in society. Simpro has an exciting position on the Norwegian market and with Inission as owners, the potential is high, says Bjørn Wiggen chairman Salvesen & Thams.

– We share a lot of Inission’s values and strategies and look forward to become a part of a larger group that can help lift Simpro. While we can benefit greatly, we also see areas where we can help lift Inission, says Erik Dragset CEO Simpro.

Prior to the entry, Inission performed a Due Dilligence and met some of Simpro’s customers. Several of them are in an exciting growth phase and the acquisition is timely to handle the needs that arise.

About the acquisition
The purchase price for the acquisition of Simpro amounts to 40 914 992 NOK with a goodwill of approximately 6,8 MNOK. The purchase price has been partly financed through a bank’s acquisition credit, loans from principal shareholders and partly with own funds. The loan from the main owners is based on market terms with a 6% interest rate. The full purchase price has been paid in cash on the day of access 2018-11-01. Sellers are Salvesen & Thams, Midvest Funds and Olav Sigurd Kvaale.

In Simpro’s new board, Hans Olav Torsen and Olav Sigurd Kvaale remain. New members of the board are Fredrik Berghel (chairman), Olle Hulteberg and Stefan Westberg. Olav Sigurd Kvaale is the founder of Simpro. Current management in Simpro remains and ensures continuity.

Inission’s strategy is to grow through acquisitions in order to become one of the most prominent contract manufacturers in electronics in the north. For the past six years, seven companies have been incorporated into Inission and now Inission is well on the way becoming one of the top five electronics manufacturers in the Nordic region.

For further information, please contact:
Erik Dragset, CEO Simpro
[email protected]
+47 90 16 23 48

Olle Hulteberg, vice Chairman of the Board Inission
[email protected]
+46 707 20 24 44

www.simpro.no

About Inission AB
Inission is a total supplier of tailor-made manufacturing and logistics services in advanced industrial electronics. The Group consists of the parent company Inission AB and the wholly owned subsidiaries Inission Stockholm AB, Inission Borås AB, Speed Production AB, Inission Munkfors AB, Inission Pajala AB, Inission Malmö AB, Estonian company Inission Tallinn OÜ and the Danish sales company Inission Copenhagen ApS. Inission AB employs 339 employees and is listed on Nasdaq First North with Stockholm Certified Advisers AB as a certified advisor.

Inission AB: Org.no 556747-1890
Lantvärnsgatan 4
652 21 Karlstad