Swedish kitchen furniture group Nobia, owner of UK brand Magnet, has taken a strategic decision to focus on its core Nordic and UK markets while continuing with activities to strengthen its financial position.
The Group’s strategic initiatives focus on maximising cost efficiency, realising the full potential of the Nordic region (e.g., through the new automated factory in Jönköping and harmonised product ranges) and executing the UK transformation program.
In line with this decision, Nobia has entered into an agreement to divest its subsidiary Bribus to the Dutch long-term investor O2 Capital Partners. Bribus is part of Nobia’s Portfolio Business Units and supplies kitchens to professional customers in the Netherlands, mainly to social housing providers and large-scale property investors.
Jon Sintorn, President and CEO of Nobia, commented: “Nobia has decided to focus efforts on developing the core Nordic and UK operations. The synergies between Bribus and Nobia are limited and Bribus is facing capacity investments for continued growth. We are convinced that O2 Capital Partners is well-equipped to support the development of Bribus going forward. Following on the recently announced sale and lease back transaction of the Jönköping factory property, this divestment represents one more step to strengthen Nobia’s financial position.”
Bribus reported sales of EUR 91.4 million and an operating profit of EUR 8.8 million on a twelvemonth rolling basis as of September 2023.
The agreed purchase price amounts to approximately EUR 64 million, subject to certain customary closing adjustments. The transaction is partly financed by a three year vendor loan by Nobia of EUR 5 million. The buyer receives the net cash in Bribus at the time of completion of the transaction, which is estimated to EUR 14 million. The transaction is expected to be completed during March 2024 and is subject to customary conditions and approvals by authorities.