Distribution of company announcements to the professional platforms, finance portals and syndication of important corporate news to a wide variety of news aggregators and financial news systems.
STOCKHOLM, Sweden, Oct 24, 2007 - (Hugin via Asia Business News) - B&B TOOLS has concluded an agreement to acquire 100 per cent of the shares in Arvid Svensson Eksandh Pro AB - the third-largest industrial reseller business in Sweden. Arvid Svensson Eksandh Pro has revenues of approximately MSEK 520 per year. Through this acquisition, B&B TOOLS and the TOOLS chain further strengthen their position as a supplier to Nordic industry. To date, Arvid Svensson Eksandh Pro has been the single largest member of the so-called BIG Group.
Closing is scheduled to occur in January 2008 and the acquisition is expected to have a marginally positive effect on B&B TOOLS' earnings per share for the current fiscal year.
Arvid Svensson Eksandh Pro AB comprises four industrial reseller businesses - Arvid Svensson Pro AB, Nils Eksandh AB, Sällfors Pro AB and Bendéns Verktyg & Maskiner AB - with a total of 11 professional outlets in 11 locations, from Avesta in central Sweden to Malmö in the south. The operations offer industrial consumables and related services to companies primarily in the industrial sector.
The Arvid Svensson Eksandh Pro Group has revenues of approximately MSEK 520 per year and has approximately 190 employees. After elimination of the B&B TOOLS Group's current sales to the operations, the Group's annual net revenues are expected to increase by approximately MSEK 500. The potential for enhanced coordination of sales and product ranges is considered to be favourable.
"We continue on our established path and are now taking another significant step in the consolidation process that is in progress in our market in the Nordic region," says Stefan Wigren, President and CEO of B&B TOOLS. "Arvid Svensson Eksandh Pro conducts operations in several key industrial locations and is one of the foremost suppliers of industrial consumables in Sweden. Arvid Svensson Eksandh Pro will be a welcome addition to the TOOLS chain's strong offering of cost-effective solutions for industrial customers throughout the Nordic region. As a result of this acquisition, B&B TOOLS will have revenues of more than SEK 9 billion per year and our ambition remains unchanged: we are constantly endeavouring to be the industrial customers' natural choice for support for their MRO processes."
The acquired businesses will be incorporated into TOOLS, which is the B&B TOOLS Group's chain for industrial resellers.
"As a fourth-generation family company, the choice of owner to take Arvid Svensson Eksandh Pro into its next development phase has naturally included many decisions and we have carefully considered various alternatives," says Rikard Svensson, Chairman of Arvid Svensson Eksandh Pro AB. "Our assessment is that B&B TOOLS offers the best solution for our customers and employees - B&B TOOLS is a focused and long-term owner, with a strong vision and clear strategy for the future."
"The sale of the business to B&B TOOLS creates positive conditions for the continued development of our customer offering within the framework of the TOOLS chain," says Håkan Eksandh, President of Arvid Svensson Eksandh Pro AB. "B&B TOOLS has the strength and the long-term development strategy needed to meet the market's future demands for proximity, customer adaptation and cost-efficiency."
Arvid Svensson Eksandh Pro AB comprises:
* Arvid Svensson Pro AB with five professional outlets in Västerås, Örebro, Fagersta, Avesta and Norberg. Revenues amount to approximately MSEK 160 per year and Arvid Svensson Pro AB has approximately 60 employees.
* Nils Eksandh AB with four professional outlets in Lund, Malmö, Landskrona and Helsingborg. Revenues amount to approximately MSEK 175 per year and Nils Eksandh AB has approximately 70 employees. The current lock operations within Nils Eksandh AB and its subsidiary Lås & Larmteknik Södra AB are not included in the acquisition.
* Sällfors Pro AB with one professional outlet in Borås. Revenues amount to approximately MSEK 125 per year and Sällfors Pro AB has approximately 45 employees.
* Bendéns Verktyg & Maskiner AB with one professional outlet in Gothenburg. Revenues amount to approximately MSEK 60 per year and Bendéns Verktyg & Maskiner AB has approximately 15 employees.
Closing is scheduled to occur in January 2008 after obtaining approval from the appropriate authorities and meeting other requirements. The acquisition is expected to have a marginally positive effect on B&B TOOLS' earnings per share for the current fiscal year.
Stockholm, 24 October 2007
B&B TOOLS AB (publ)
For further information, contact: Stefan Wigren, VD and CEO, B&B TOOLS AB, telephone +46-8-660 10 30 Mats Karlqvist, Vice President - Investor Relations, B&B TOOLS AB, telephone +46-70-660 31 32
B&B TOOLS provides the industrial and construction sectors in northern Europe with tools, industrial consumables, industrial components and related services. The Group has annual revenues of approximately SEK 8.5 billion and approximately 2,900 employees.
Bergman & Beving changed its name to B&B TOOLS at the end of March 2007.
