ASPO'S AUTOTANK GROWS SIGNIFICANTLY THROUGH ACQUISITION
2005-01-19T11:05:32 CETAspo's Autotank Group is significantly expanding its service station maintenance service activities with the acquisition of the Malte Group's Swedish and Norwegian maintenance operations. The consolidated net sales of the acquired operations totaled approximately SEK 150 million in fiscal 2003. The company, which was established in 1909, operates in the Scandinavian region and focuses on service station construction and maintenance services.
The acquisition is expected to have a mildly positive impact on earnings in 2005, and a markedly positive impact from 2006 onward.
The deal will boost the Autotank Group's net sales from EUR 35 million (2003) to approximately EUR 50 million. The value of the deal is approximately EUR 4.5 million, and about one quarter of the payment can be made in the form of convertible Aspo bonds issued during 2004. The cash flow impact of the acquisition is approximately EUR 3.2 million. The acquisition must still be improved by the Norwegian competition authorities before it can take effect. At a current estimate the deal will be finalized around February 10, 2005.
"The Malte acquisition will substantially enhance our ability to serve Scandinavian customers and will enable the company to offer complete service solutions. It will boost our service especially in Northern and Southern Sweden, as well as Norway", says Autotank Managing Director Peter Hutton.
"The scale of an acquisition as large as this will bolster the position of the Systems Division as the third cornerstone of Aspo's operations, while improving its earnings power. Greater economies of scale will bring us closer to achieving our long-term goal of the cost-leader in our field", says Aspo CEO Gustav Nyberg. "Maintenance services will comprise about two thirds of Autotank's revenues in the aftermath of the acquisition. The demand for these services is relatively stable and it does not experience seasonal fluctuations, unlike equipment sales. In this way the acquisition will improve the predictability of Autotank's operational performance."
The Aspo Systems Division consists of Autotank Ltd and its subsidiaries. Autotank is the leading supplier of service station automation technology and related services in the Baltic area. It has subsidiaries in Sweden, Norway, Estonia, Latvia, Lithuania and Poland. The Autotank Group had net sales totaling approximately EUR 35 million in 2003 and it employed approximately 230 people.
ASPO Plc
Gustav Nyberg
CEO
For more information contact Gustav Nyberg, +358 9 7595 256, '+358 40 503 6420
gustav.nyberg@aspo.fi