Ratos subsidiary Haendig is selling Markt & Co and Hitachi Finland to Hitachi Koki, Japan. Following this sale, the Haendig Group consists of trading companies that serve the growing D.I.Y. market.
The Haendig Group has shown a strong improvement in profitability in recent years. This was partly due to the success of the Hitachi professional products sold through Markt and Finish Penope. At the same time, growing interest in homes and gardens in the Nordic countries has created new opportunities for growth. The D.I.Y. market, where retail sales are expected to reach SEK 22 billion this year, has for several years shown higher growth figures than the professional segment with its greater dependence on economic fluctuations.
"Over the last two years we have made tremendous efforts to develop our business and improve service to our customers," says the Haendig Group's CEO Thomas Holmgren. "By streamlining our operations to concentrate on the D.I.Y. market we are now giving the group an even clearer focus."
Haendig's major customers include Interpares, Bauhaus and Silvan. Through these major retail chains private individuals are offered goods from Haendig's extensive wholesale range as well as Haendig's own brands - Hafa (bathroom products), Duri (floor accessories), HDF Gyttorp Jakt (weapons and other hunting accessories), Serva (building and ironmonger products) and Sven Svenssons (plant pots and garden ornaments).
In 2003 the Haendig Group's sales totalled SEK 1.2 billion (1.2) with profit before depreciation of SEK 82 million (76) and a pre-tax profit of SEK 39 million (24). Markt and Hitachi Finland together accounted for approximately SEK 350 million of last year's sales.
The sale will be effectuated January 1st 2005 and will release just over SEK 140 million for Haendig.
Following the sale, the Haendig Group will comprise, in addition to the parent company, the subsidiaries HDF, Hafa, Sven Svensson, Duri, HDF Gyttorp Jakt and finish Penope.
For additional information, please contact
Stig Karlsson, Senior Investment Manager Ratos, +46 706 41 13 45
Thomas Holmgren, CEO Haendig, +46 705-736 700