Inission has signed a subscription undertaking of 34 000 000 shares to the value of 6,8 MEUR, conditional upon, among others, Enedo’s Board of Directors being authorized by the Extraordinary General Meeting to issue the shares and the Finnish Financial Supervisory Authority granting exemption to Inission from the obligation to launch a mandatory tender offer. After the direct share issue Inission will hold approximately 49% of the shares and votes in the company. The subscription is financed with own equity. The directed share issue is part of Enedo’s comprehensive arrangement of debts and thereto related rights issue.
Enedo is a European designer and producer of high-quality electronic power supplies and systems. Except for headquarters and operations in Finland Enedo also have operations in Italy, USA and Tunisia. Production takes place mainly in Enedo’s factory in Tunisia with approximately 200 employees.
The growth in the power supplies industry is driven by the electrification of the society. All electronics such as 5G, IoT, batteries etc needs reliable power supplies. The power supply industry is an important enabler for the electrification. The growth in the sector is expected to be twice that of EMS, about 6% annual growth.
Enedo has a strong product portfolio, great reputation and a solid customer base. The investment means that Inission will investigate the possibility of developing common business. Enedo products have a potential to be supplied to Inission’s customers and the same applies for Enedo’s customers that can be offered the services that Inission can provide.
The manufacturing unit in Tunisia could be complementary to Inission’s Nordic and Baltic factories and is very well acquainted with deliveries to Europe and North America. The Electronics industry in Tunisia is substantial, and Tunisia has a well regarded trading-history with EU and North America.
Combining our offerings would create value for our customers.
– The power supply industry is forecasted to be an important strategic resource and have a prosperous future. After discussions with representatives of the company and with the chairman of Enedo Board we are pleased to announce this industrial investment. Being able to offer power supplies and electronic manufacturing services (EMS) in one package is a game changer in our industry, says Fredrik Berghel Chairman of Inission.
The directed share issue is part of a comprehensive arrangement to refinance Enedo with 15,4 MEUR in new equity. Enedo intends to invest the raised capital in the implementation of a turnaround program to strengthen the profitability. Inission intends to support the implementation of the program as an active owner.
Enedo is a European designer and producer of high-quality electronic power supplies and systems for critical equipment even in the most demanding environments. Enedo´s mission is to make electricity better – more reliable, more secure, more energy efficient – and just right to fit its purpose. Enedo´s three main product categories are Led Drivers, Power supplies and Power Systems. In 2019 the group´s revenue was EUR 43,3 million with an Adjusted operating profit of minus EUR 2,4 million . Enedo has 394 employees and its main functions are located in Finland, Italy, Tunisia and USA. The group´s head office is in Finland and parent company Enedo Oyj is listed on Nasdaq Helsinki Oy. www.enedopower.com
For more information:
Fredrik Berghel, Chairman of the Board Inission AB
+46 732 02 22 10
This information is such information that Inission AB is obliged to publish in accordance with the EU Market Abuse Regulation. The information was submitted, through the care of the above contact person, for publication on February 16 2021 at 08:55 CET.
Inission is a profitable total supplier that offers demanding industrial customers in the Nordic region complete electronic and mechanical products of the highest quality. Our services cover the entire product life cycle, from development and design to industrialization, volume production and aftermarket. By combining this with logistics services and a production based on high flexibility, customer adaptation and short lead times, our offer becomes very competitive. Inission has production units in Stockholm, Västerås, Borås, Munkfors, Malmö, Trondheim (Norway), Lohja (Finland), Lagedi and Tallinn (Estonia). Inission is listed on OMX Nasdaq First North with Stockholm Certified Advisers AB ([email protected], +46 707 94 90 73) as a certified adviser. The company’s reports are archived under: www.inission.com/investor-relations
Inission AB: org.nr 556747-1890, Lantvärnsgatan 4, 652 21 Karlstad
The press release in A4-format: Inission to become the major shareholder in Enedo.pdf