TAKKT acquires Swedish mail-order retailer for factory equipment
The TAKKT GROUP Company, Gerdmans Inredningar AB, has concluded a purchase agreement with Brady Corporation for the acquisition of 100 percent of the shares in Runelandhs Försäljnings AB. The transaction is expected to close on May 31. Runelandhs is expected to generate a turnover of more than, 145 million Swedish Krona (equivalent to approx. 14 million Euro), and an EBITDA margin at the lower end of the TAKKT target corridor of 12 to 15 percent in the 2017/2018 financial-year ending as of July 31st. The company will become part of the KAISER+KRAFT Group in the TAKKT EUROPE division.
Founded in 1992, Runelandhs, based in Kalmar, Sweden, employs around 20 people and sells factory and office equipment. The product range comprises around 15,000 products, which are distributed via a multi-channel approach. Runelandhs has a high product competence and offers an attractive price/performance ratio. The KAISER+KRAFT Group is currently represented by the Gerdmans brand in Sweden, Denmark, Finland and Norway, and with a similar product range is somewhat more strongly oriented towards office furnishings. Together with Runelandhs, Gerdmans will become one of Sweden’s leading distance sellers for business and office equipment.
“With its complementary product range, attractive customer base and profitable growth, Runelandhs is an ideal strengthening for the existing activities of the KAISER+KRAFT Group in Scandinavia”, explains Felix Zimmermann, CEO of TAKKT AG. Through the merger with Gerdmans, TAKKT also intends to exploit synergy potential, for example by improving purchasing conditions and broadening the product range. “Runelandhs hasn’t run a warehouse yet. By using the Gerdmans warehouse, better purchasing conditions can be achieved and product availability increased”, says Zimmermann.
Runelandhs has been owned by the US Brady Corporation since 2012. Managing Director Sven Hansson will continue to be responsible for management. “We are very much looking forward to continuing our growth strategy together with TAKKT and Gerdmans“, said Sven Hansson.
The purchase price, free of financial debt and cash and cash equivalents, amounts to 174 million Swedish Krona (equivalent to approximately 17 million euros). TAKKT is financing the acquisition by drawing on already agreed credit lines. “Even after the acquisition, TAKKT has sufficient free credit lines for further company acquisitions”, explains CFO Claude Tomaszewski.