Acquisitions

Addtech is constantly on the lookout for companies to acquire and is engaged in discussions with a number of possible companies. This financial year Addtech completed ten acquisitions in the continuing operations that came into effect during the year. Nine companies were acquired in the previous year. The year's acquisitions were carried out in all business areas and are diverse both in terms of the markets and products covered. Since becoming a listed company in 2001, Addtech has acquired around 100 companies. The following companies were acquired during the year:

• Dafine Engineering OY. On 1 April 2015 Dafine Engineering OY was acquired to become part of the Energy business area. Dafine is a technology trading company that markets and sells equipment for cable harness manufacturing sucha as machines, accessories and testing systems. The company has 4 employees and sales of about EUR 2.5 million.
• Mediplast AB. On 1 July Addtech aquired all shares in Mediplast AB to become part of the, now distributed, Life Science business area. Mediplast AB is the parent company of the Mediplast Group and is a leading Nordic supplier of medical technology equipment and consumables. The company has 120 employees and sales of about SEK 465 million.
• Fenno Medical OY. On 1 July, now distributed Life Science, Addtech acquired all shares in Fenno Medical OY via Mediplast AB. Fenno Medical is a leading medtech actor in the Finnish market, marketing a broad range of medical equipment and consumables from world-leading suppliers. The company has 35 employees and sales of approximately EUR 20 million.
• EB Elektro RE AS. EB Elektro RE AS was acquired on 10 July to become part of the Energy business area. EB Elektro is a well-established producer of electrotechnical products for electricity distribution, electrical transmission and railways on the Norwegian market, as well as representing world-leading agencies within its product area. The company has 20 employees and sales of around NOK 80 million.
• CTM Lyng AS. On 18 August, Addtech acquired all shares in CTM Lyng AS to join the Energy business area. CTM Lyng is a well-established manufacturer and supplier of products for improving energy efficiency, as well as lighting and heating control products (“the smart house”) for the building and installation market in Norway. The company has 55 employees and annual sales of approximately NOK 130 million.
• Partco OY. On 1 September, Partco OY was acquired by the Components business area. Partco is a technology trading company that supplies components in the field of electronics and electromechanics in the Finnish market. The company has 10 employees and sales of about EUR 2 million.
• RECAB Embedded Computers AB. On 1 October, RECAB Embedded Computers AB was acquired to become part of the Components business area. RECAB develops, manufactures and markets innovative embedded computer systems for demanding applications to OEM customers in the Nordic market. The company has 18 employees and sales of about SEK 100 million.
• Kretsteknik Nordic AB. On 14 October, Addtech acquired the business of Kretsteknik Nordic AB and incorporated it into the Components business area. Kretsteknik markets production equipment and materials for mounting and soldering of PCBs for the electronics industry. The business reports sales of around SEK 25 million.
• Enöque Svenska AB. On 14 October, Enöque Svenska AB was acquired and incorporated into the Energy business area. Enöque markets products for improving energy efficiency, as well as lighting and heating control products for the building and installation market in Sweden. The company has sales of around SEK 6 million.
• Powermec AB. On 13 November, Powermec AB was acquired and incorporated into the Power Solutions business area. Powermec develops and markets customized solutions within power supplies, electrical motors and electro mechanical components, primarily to OEM customers. Powermec has 26 employees and sales of around SEK 150 million.
• Goodtech Products AS. On 1 February, Addtech acquired Goodtech Products AS to become part of the Components business area. Goodtech Products delivers products, solutions and services in the field of automation to Norwegian industry and the public sector. Goodtech has 23 employees and sales of around NOK 85 million.
• INL System AB. On 1 March, INL System AB was acquired to become part of the Components business area. INL System, based in the Swedish town of Köping, is a technology trading company that provides a wide range of products for industrial data communication, such as routers and switches, wireless WLAN, fiber optic converters and cloud services. The company has two employees and sales of around SEK 12 million.
  

The total purchase consideration, excluding issue in kind, for the financial year's acquisitions was SEK 716 million.

The combined effect of the acquisitions during the financial year on the Addtech Group's net sales was SEK 270 milion, on operating profit it was SEK 17 million and on profit after tax for the year it was SEK 14 million. Had the acquisitions been completed on 1 April 2015, their impact would have been an estimated SEK 570 million on Group net sales, about SEK 40 million on operating profit and about SEK 30 million on profit after tax for the financial year. During the financial year, the acquisitions in continuing operations increased the number of employees with 161.