Nolato acquires Swiss company Treff
Nolato has entered into an agreement to acquire Swiss company Treff AG. The company, which has annual sales of just over SEK 450 million with healthy profitability, will strengthen the customer base and geographical expansion of both Nolato Medical and Nolato Industrial.
Treff manufacturers supply products for medical and self-care diagnostics (in-vitro diagnostics, IVD), as well as technically advanced precision components for various industrial segments. The company’s sales for 2016 are estimated at just over SEK 450 million, with an EBITDA margin of around 11.5%.
“The acquisition gives us a presence in the German-speaking part of Europe. It will open doors to a large group of new and internationally leading customers, particularly within medical technology, several of which are existing customers of Treff,” said Nolato President and CEO Christer Wahlquist.
Treff employs approximately 190 people at its plant in Degersheim, in the canton of St. Gallen, Switzerland. The company was established in 1946 and has been family-owned ever since. The current management will remain with the company.
“The acquisition is an important part of our growth strategy, and we are continually working to boost shareholder value by identifying companies that complement our offering, hold solid market positions and have a high level of technical expertise. Treff is a well-managed and well-invested company that will fit well with our corporate culture.”
The transaction will be completed during the first week of October, when the firm will be consolidated into the Group. It is expected to have a marginal positive effect on Nolato’s earnings per share for the current year. Around two thirds of Treff’s operations will be reported within Nolato Industrial in future, and one third within Nolato Medical.
The acquisition will be financed using existing credit agreements. Nolato will continue to enjoy a strong financial position following the acquisition.
For further information, please contact:
Christer Wahlquist, President and CEO, +46 (0)705 804848
Per-Ola Holmström, CFO, +46 (0)705 763340
Nolato will be holding a conference call today, Monday 26 September at 3.30 pm CET, where President and CEO Christer Wahlquist and CFO Per-Ola Holmström will comment on the acquisition. To participate call +468 301 790 and enter the code 389 917.
Nolato is a Swedish group with operations in Europe, Asia and North America. We develop and manufacture products in polymer materials such as plastic, silicone and TPE for leading customers within medical technology, pharmaceuticals, telecom, automotive, hygiene and other selected industrial sectors. Nolato’s shares are listed on Nasdaq Stockholm in the Mid Cap segment, where they are included in the Industrials sector.
This information is information that Nolato AB is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact persons set out above, at 2.00 pm CET on 26 September, 2016.