Ratos's associated company Lindab has decided to set up manufacturing facilities in Prague. This decision is based on strong growth in demand in central and eastern Europe combined with improved logistics and a better cost situation.
Lindab is facing exciting challenges with strong growth in several markets and has therefore decided to invest in a new production unit in the Czech Republic, just outside Prague. The new modern factory is scheduled to be ready for production in 2004. It is estimated that up to 300 employees will be employed in stages over the next few years.
Lindab's sales in central and eastern Europe have doubled over the past three years and now amount to approximately SEK 800m. Most of production for these markets has been located in Sweden and Denmark. The planned factory will mainly manufacture labour-intensive products within Lindab's ventilation programme. Lindab's Profile business area currently has operations in Prague which will also be moved to the new facility.
"This investment is important for our continued development in Europe. Profitable growth requires efficient production close to growth markets," says Lindab's CEO Kjell Åkesson commenting on the decision.
At the same time as production is being extended in the Czech Republic, the factories in Sweden and Denmark will continue to develop their roles as competence centres and hubs for product and production technology development.
For further information, please contact
Mats Lönnqvist, Senior Investment Manager Ratos, +46 8 700 17 00
Kjell Åkesson, CEO Lindab, +46 431 850 00