Nordic Rescue Group expands its operations to Sweden through acquisition

Sievi Capital Plc

Press release 18 June 2021 at 10.40 am EEST

Nordic Rescue Group expands its operations to Sweden through acquisition

Sievi Capital's target company Nordic Rescue Group (”NRG”) has today acquired the entire stock of Swedish Sala Brand AB. The acquisition is part of NRG's growth strategy. With the acquisition, NRG will expand its operations to Sweden and create a leading Nordic rescue and fire vehicle group.

Sala Brand, founded in 1978, is a manufacturer of fire vehicles and whose main market is Sweden. In addition to the production of its own vehicles, the company also provides maintenance services and represents two major European suppliers in Sweden, Rosenbauer and Magirus. The company's premises are in Sala, Västmanland, and it employs approximately 30 employees. Key personnel will continue to work for the company and Kai Hedlund, Managing Director of Sala Brand, will be a member of NRG's Group Management Team. Sala Brand's net sales in 2020 were SEK 163 million and the company's order book is at a strong level.

”Expansion to Sweden and the inclusion of Sala Brand in NRG is great. This deal allows us to realise the next growth leap and makes NRG a true Nordic player with a comprehensive and competitive product range for both domestic and export needs. The expansion will enable more resources for product development and the ability to make larger deliveries, especially in export markets. In addition, together we are in a position to build a comprehensive maintenance network in the Nordic countries,” says an enthusiastic Matti Huttunen, Managing Director of NRG.

”It is great to be part of a common Nordic enterprise that makes it possible for Sala Brand to enter a new phase. We look forward to working with new colleagues and top professionals in the industry. Working together, we can share our expertise and create even better products to serve our customers' demanding needs,” says Kai Hedlund, Managing Director of Sala Brand, who has been active in the industry since 1978.

As part of the financing of the transaction, NRG has issued shares to the existing owners and to Andersérs Mekaniska Verkstad AB, the seller in the transaction. In the share issue, Sievi Capital made an additional investment of approximately EUR 2.5 million and Sievi Capital's stake in NRG decreased to 67.9% after the share issue.

SIEVI CAPITAL PLC

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CEO Päivi Marttila, tel. +358 400 285 358

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Sievi Capital is a partner for Finnish entrepreneurs. We support the growth, performance and value creation of small and medium-sized companies and concurrently build national competitiveness. We believe that we succeed together as co-entrepreneurs. Sievi Capital’s share is listed on Nasdaq Helsinki.