Momentum Group acquires Cobalch – complements its offering in flow technology
Momentum Group has today, through its subsidiary Börjesson Pipe Systems AB (BPS), signed an agreement to acquire 70 percent of the shares in Cobalch ApS. Cobalch is a specialist in pipeline accessories for different types of media and the acquisition complements BPS's offering. The closing will take place immediately and the acquisition is expected to have a marginal positive impact on Momentum Group's earnings per share during the current financial year.
“Company acquisitions are an important part of Momentum Group's growth strategy, and we are focused on carrying out acquisitions at several different levels within the Group. Subsidiaries that meet the Group's profitability target of at least 45 percent EBITA/WC can work with acquisitions to strengthen their offering or expand geographically,” says Ulf Lilius, President and CEO of Momentum Group.
“BPS's acquisition of Cobalch complements our offering in flow technology in Sweden and opens doors to the Danish market in this area. We have collaborated with them for a long time and we see a number of points of contact and synergies with our operations within BPS,” says Torbjörn Börjesson, CEO of BPS.
Cobalch was established in 1982 and offers products and services in pipeline accessories for gas, water, oil, sewage treatment plants, water works and refineries for customers in the Nordic region and parts of Europe. The company has long-standing partnerships with well-established suppliers and also provides certain special solutions that are sold under its own name. Operations are conducted from Kvistgård, near Helsingør in Denmark and have annual sales of approximately SEK 25 million with four employees.
Cobalch will be operated as an independent subsidiary and competence center of BPS under the current management.
“We look forward to being part of Momentum Group and the new collaboration and business opportunities that are opening up – in the medium term, we see great potential to also expand our offering in water and sewage,” says Rikke Dahlgaard, CEO and owner of Cobalch.
