Cinven and Goldman Sachs Capital Partners ("GSCP"), two leading European private equity investors, today announce that they have entered into an agreement with Nordic Capital funds to acquire Ahlsell Group AB for an undisclosed price.
Ahlsell is the leading Nordic distributor of heating & plumbing and electrical installation products. The company is focused on five core markets; Heating & Plumbing, Electrical, Tools & Machinery, Refrigeration and DIY, and has built leading market positions in a number of these sectors across the Nordic region. Ahlsell's customers have access to over 125,000 products from the company’s 175 outlets across the region and can access a further 200,000 products from Ahlsell's suppliers. Ahlsell has an annual turnover of approximately SEK 17 billion.
As part of the transaction, the management of Ahlsell will remain shareholders and continue to develop the company in line with its current strategy, with the combined support of Cinven and GSCP.
Guy Davison of Cinven said:
"We are delighted to take joint ownership of Ahlsell with GSCP and management. This is a sector we know well and we believe that the company has a tremendous position in its chosen products and regions. There are significant opportunities for the further development of this business and we look forward to working with the management team."
Sanjay Patel of Goldman Sachs Capital Partners added:
"We have great confidence in the team of management and employees at Ahlsell, who have an excellent track record of successful growth, both organically and through acquisitions. We fully support the company's current strategy and look forward to working in partnership with Cinven and management to realise the company's potential."
Göran Näsholm, CEO and President of Ahlsell, said:
"We welcome Goldman Sachs Capital Partners and Cinven as owners of Ahlsell. They are both leading companies in private equity investing and Ahlsell has had positive experience with this type of owner. Goldman Sachs Capital Partners and Cinven have shown great interest in and have a solid knowledge of our company and we look forward to the continued profitable growth of Ahlsell together with our new owners."
The purchase will be financed by funds managed by Cinven and GSCP as well as through the continuing investment of Ahlsell management.