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. Ten 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 80 companies. The following companies were acquired during the year:

• Sammet Dampers Oy. On 1 April, Addtech acquired Sammet Dampers Oy to become part of the Industrial Process business area. Sammet Dampers is a leading developer and supplier of industrial dampers in Northern Europe. The company has sales of around EUR 5 million and 12 employees.
• Poryan China Company Ltd. On 5 April, Addtech acquired Poryan China Company Ltd to become part of the Power Solutions business area. Poryan China Company Ltd provide component solutions and subsystems in circuit protection primarily to the train and signaling market in China. The company has sales of around SEK 50 million and 22 employees.
• ETS Cable Components. On 5 April, Addtech acquired ETS Cable Components to become part of the Energy business area. ETS Cable Components supplies products, systems and services in the field of cable accessories for power cable installation, including cable cleats brackets, cable glands, cable lugs, flexible conduits, cable ties and cable tooling above all for the UK market. The company has sales of around GBP 8.5 million and 35 employees.
• Elektro-Tukku Oy. On 2 May, Addtech acquired 100 percent of the shares in Elektro-Tukku Oy, Finland, to become part of the Components business area. Elektro-Tukku Oy sells measuring and control instruments to industry, OEMs and the public sector. The company has sales of around SEK 8 million and 3 employees. The operation will be part of an existing company.
• Penlink AB. On 3 October, Penlink AB was acquired to become part of the Components business area. Penlink delivers products and solutions in the fields of rotating transmission and electro optics. The company has sales of around SEK 25 million and five employees.
• Itek AS. On 9 November, Itek AS was acquired to become part of the Industrial Process business area. Itek is a leading supplier in Norway of energy efficient solutions and systems for clean air, process cooling and dust collection. The company has sales of around NOK 60 million and 13 employees.
• Carmac Inc. On 12 December, the net assets of Carmac Inc. were acquired to become part of the Power Solutions business area. Carmac supplies drivers’ seats and accessories to dealers/retailers and small OEMs. The acquisition of the net assets adds two employees and sales of about USD 1 million.
• Sensor Control Nordic AB and Sensor ECS AB. On 2 January 2017, Sensor Control Nordic AB and Sensor ECS AB, Sweden, were acquired to become part of the Components business area. The Sensor-companies deliver products and solutions in the fields of sensor, control and drives. The companies have sales of around SEK 160 million and 30 employees.
• Vallentin Elektronik A/S. On 2 January 2017, Vallentin Elektronik A/S, Denmark, was acquired to become part of the Components business area. Vallentin is a technology trading company that supplies thermal solutions for OEM/built-in to customers, mainly in the area of electronics. The company has sales of about DKK 15 million and four employees.
• Ex-Tekniikka Oy. On 1 March 2017, Ex-tekniikka Oy, Finland, was acquired to become part of the Components business area. Ex-Tekniikka Oy is a technology trading company that supplies Ex products for OEM installation as well as process industry. The company has sales of about EUR 2 million and three employees.

The total initial purchase consideration, for the year's acquisitions amounted to SEK 457 million, including cash and cash equivalents in the acquired companies of SEK 141 million.

If all the acquisitions had been completed on 1 April 2016, their impact would have been an estimated SEK 528 million on Group net sales, about SEK 55 million on operating profit and about SEK 39 million on profit after tax for the financial year. During the financial year, the acquisitions increased the number of employees with 129.