Göteborg, Sweden, 2012-02-06 08:30 CET (GLOBE NEWSWIRE)
--
Bilia has concluded an agreement to acquire all
shares in Stenshagen Bil Oslo AS and Stenshagen Bil
Kongsvinger AS. Furthermore, long leases have been signed
for the properties in Oslo and Kongsvinger, with Egil
Stenshagen. The companies have a turnover of around SEK 1.0
billion and the operating profit amounted in 2011 to
approximately SEK 45 million (37). During 2011, the
companies delivered 940 new BMWs, 500 new Volvos, 85 new
Nissans, 25 new Land Rovers and 1,050 used cars. The
business, which is concentrated on Oslo, has reported
strong profits in recent years. The agreements are
conditional on approval by the Norwegian competition
authority. It is planned to be able to take possession of
the business at the end of February, with financial effect
from 1 January 2012.
The companies' capital employed plus agreed
surplus values amounts to approximately SEK 210 million.
The purchase price will be paid with Bilia shares to a
value of just over SEK 60 million, and the remaining amount
in cash. Egil Stenshagen will be one of the largest owners
of Bilia after the transaction and will also be a member of
the board of Bilia in Norway. For a number of years, Bilia
has had Volvo, BMW and Ford dealerships in Oslo and
synergies have been estimated at a minimum of SEK 8 million
per year with full effect from 2013.
The transaction is expected to have the following
effects on the Bilia group during 2012:
-
Capital employed will increase by around SEK 210
million and net borrowings by around SEK 150
million.
-
The number of outstanding shares will increase by
515,000.
-
Earnings per share are expected to increase by
around SEK 0.4.
Bilia's CEO Per Avander comments:
"The acquisitions strengthen our business in
Norway and enable substantial synergies. We will be able to
restructure our business in Oslo to give us efficient
stand-alone facilities for both BMW and Volvo."
Egil Stenshagen comments:
"The sale is part of the ongoing consolidation
in the car trade. Bilia has good prospects to be able to
develop the car business in Norway. It therefore feels like
right decision for all employees and customers to sell the
business to Bilia."
Gothenburg, 6 February
Bilia AB (publ)
For
further information, please contact CEO Per Avander or CFO
Gunnar Blomkvist, Bilia AB,
tel
+46 31 709 55 00 or Bilia's CEO in Norway Frode Hebnes
tel +47 99 32 19 27.
