Elektroimportøren AS — M&A Activity 2022

Jan 28, 2022

Elektroimportøren acquires Sweden’s largest online player in electric installation material for private consumers.

Elektroimportøren acquires Sweden’s largest online player in electric installation material for private consumers.

Oslo 28.01.2022: Elektroimportøren Holding AS has today signed a Share Purchase Agreement ("SPA") to acquire 100% of the shares of Elbutik Scandinavia AB and its sister companies ("Elbutik.se") from Lades AB (the "Transaction"). Elbutik.se is Sweden’s largest online player in the market for electric installation material and related products to private consumers.

The purchase price to be paid at completion of the Transaction is expected to be approximately MSEK 235, subject to the audited consolidated EBITDA of Elbutik.se for 2021 and the net debt and working capital of Elbutik.se at closing. MSEK 182.5 of the purchase price will be settled in cash and the remaining part to be paid at closing will be settled with shares in Elektroimportøren AS. The subscription price for the consideration shares will be determined on the basis of the volume weighted average price of the share of Elektroimportøren AS over the last five days of trading prior to closing. The consideration shares will further be subject to a 24-month lock-up period.

Lades AB will also be entitled to a potential earn-out based on Elbutik.se's EBITDA for 2022 to 2025, which may bring the aggregate purchase price up to MSEK 292.5

Completion of the transaction is subject to (i) that the extraordinary general meeting of the Company authorizes the Company's Board of Directors to issue the consideration shares and (ii) certain other customary closing conditions. The Company expects to give notice to an extraordinary general meeting during the course of next week. The agreement is expected to be completed primo Q2 2022.

This acquisition opens up the Swedish market of SEK 15 billion for Elektroimportøren’s concept and provides a solid base for a roll-out of physical stores.

Elbutik.se is a dominant online player offering almost 30,000 products to customers online. They have shown a great development in sales and profits over the last 10 years. It achieved a total revenue of MSEK 141 and EBITDA of MSEK 14.3 in 2020 and are growing sales and profits in 2021. The excellent performance of Elbutik.se is driven by the knowledge and enthusiasm of its employees lead by the founding Svensson family who will continue within the business going forward.

Andreas Niss CEO of Elektroimportøren comments:

“We are excited about the opportunities that this brings us. Elbutik.se reminds us of Elektroimportøren in 2014. How they are challenging their market by offering a wide range of products at reasonable prices to everyone. We see Elbutik.se as a great platform to start the roll-out of a Swedish omnichannel player. We believe that by using our retail knowledge and experience from Norway together with the market and product expertise from Elbutik we have a good starting point for another successful adventure. We really look forward to start working together with our new colleagues.”

Further information about the acquisition will be given in conjunction with Elektroimportøren’s Q4 presentation February 10th.

This information is considered to be inside information pursuant to the EU Market Abuse Regulation (MAR) and is subject to the disclosure requirements pursuant to MAR article 17. This stock exchange announcement was published by Petter Bjørnstad, CFO at Elektroimportøren on 28 January 2022, at 11.50 CET.

For further information please contact:

CEO Elektroimportøren Andreas Niss +4793467067

CFO Elektroimportøren Petter Bjørnstad +4795907788