Odin Equity divesting cleantech business Haarslev Industries to Altor
Earlier today, Altor (Altor Fund III GP Limited) signed a binding agreement to acquire a majority interest in Haarslev Industries A/S. Odin Equity Partners is the selling majority shareholder. The CEO of Haarslev Industries, Claus Østergaard Nielsen, will stay on as co-owner and chief executive of the company.
Founded in 1973, Haarslev Industries is a cleantech business dedicated to manufacturing processing equipment for organic by-products, including from slaughterhouses and water purification plants. Haarslev’s products are applied in various industries, including the meat and bone meal and the fishmeal industries and in the environmental and bio-energy sectors.
The company has about 600 employees and has more than trebled its revenue under Odin Equity ownership to around DKK 1.1 billion in the most recent financial year. Haarslev Industries has production facilities in Spain, Brazil, Peru and China as well as in the village of Hårslev on the Danish island of Funen.
Bernd Petersen, Partner, Odin Equity, said: “Haarslev Industries is an attractive business with exciting prospects. Since 2006, Odin and the management of Haarslev Industries have been actively engaged in transforming and professionalising the company, turning what was a small machinery manufacturer into a global business with production facilities on several continents and sales offices all over the world. We’ve succeeded, and we’re very proud of the business as it stands today. We’re confident that it will continue its positive developments with Altor on board.”
Søren Johansen, Partner, Altor Equity Partners, said: “Over the years, Haarslev has successfully applied its know-how and expertise in a very exciting industry, and today the company holds a unique leadership position in the vast majority of the markets where it has a presence. At Altor, we see a great potential in applying the powerful platform so the company can continue to generate growth and prosper, for the benefit of its customers and its employees.”
Altor’s strategy is to invest in companies strongly positioned in attractive markets that offer value creation potential.
“Building on the existing platform of Haarslev Industries, Altor can contribute capital resources and management skills and thereby help accelerate the company’s further development. At Altor, we look forward to working with the Haarslev team towards achieving the company’s goals,” Søren Johansen added.
Closing of the transaction is expected at the end of March 2012, subject to relevant regulatory approval. The parties have agreed not to disclose the transaction price.
Altor was advised by William Blair & Co., Kromann Reumert, Deloitte, BCG, COWI as well as AON and Asia Base Research, while Odin was advised by SEB Enskilda, Accura, PwC and AT Kearney.
Haarslev Industries is a cleantech business dedicated to manufacturing processing equipment for organic by-products, including from slaughterhouses and water purification plants. Haarslev’s products are applied in various industries, including the meat and bone meal and the fishmeal industries and in the environmental and bio-energy sectors. The company works closely with its customers, dedicated to providing quality, reliable and durable products, whether supplying an individual piece of equipment or a complete turnkey plant. Haarslev was founded in 1973, and having acquired Sværtek (2003), Atlas-Stord (2006), Tremesa (2008) and, most recently, Flo-Dry (2011), the company has positioned itself as the globally leading supplier within selected niche markets.
The Altor Funds are private equity funds, consisting of the “Altor 2003 Fund”, which has committed capital of EUR 650 million, “Altor Fund II”, which has committed capital of EUR 1,150 million, and “Altor Fund III”, which has committed capital of EUR 2,000 million. The Altor Funds are advised by Altor Equity Partners. The Altor Funds invest in Nordic businesses, committed to creating value through growth, strategic development and operational improvements. Since being founded in 2003, the Altor Funds have made more than 30 platform investments and more than 35 strategic add-on acquisitions. Current and former companies of the Altor Fund portfolio include Aalborg Industries, Ferrosan, Sonion, the Wrist Group, Meyn, Piab, Byggmax, Helly Hansen and Carnegie.
Odin Equity Partners (”Odin”) is an owner-managed, independent private equity company based in Denmark. Odin was founded in 2005 by Esben Bay Jørgensen, Jesper Wadum Nielsen and Bernd Petersen and is committed to taking majority interests in small and medium-sized businesses with revenues of DKK 200 – 1,000 million. Over the years, Odin has invested in a number of Danish and Swedish manufacturing and service businesses and currently has more than DKK 2,500 million under management. Odin aims to create long-term value for its portfolio companies through strategic acquisitions, operational improvements and by professionalising management structures. For more information, go to www.odinequity.dk