Cramo Strengthens Its Position in the Modular Space Market by Acquiring Nordic Modular Group
Castrén & Snellman advised Cramo in an acquisition finance arrangement in which Cramo strengthened its position in the Nordic modular space market and expanded its business model to in-house development and production of modular solutions by acquiring the Swedish based Nordic Modular Group Holding AB from Strukturfonden HC11 AB, which is a subsidiary of Nalka Invest AB, and certain minority shareholders. The enterprise value of the transaction was approximately SEK 2.725 billion.
NMG, a well-established player in the Nordic modular space market, was founded in 1956. The Company’s main market is Sweden, with operations also in Norway, Denmark and Finland. It employs 230 people with reported sales of SEK 779 million and EBITA of SEK 160 million in 2017. In the first quarter of 2018, the sales of NMG increased by 26% compared to the first quarter of 2017.
NMG currently serves municipal customers, county councils and private companies with a primary focus on schools, pre-schools, elderly housing solutions and offices. It develops, manufactures, sells and rents relocatable buildings through its three subsidiaries, Temporent AB, Nordic Modular Leasing AB and Flexator AB. Temporent rents out modular solutions with a fleet consisting of approximately 6,500 modules, serving primarily municipalities and large private companies. Nordic Modular Leasing leases out modular units with a primary focus on longer term contracts. Flexator designs, manufactures and sells professional modular buildings based on standardised building systems from site huts to advanced solutions.