(ELUX) The Board of Directors of Electrolux has decided to exercise the option to sell the remaining parts of the leisure-appliances product line to EQT Northern Europe, a Northern European private equity firm.
The major part of this product line was divested to EQT as of July 2001. The agreement included an option for the Group to divest the remaining parts, i.e. operations in Germany and Slovakia, at a later date. These operations have annual sales of approximately SEK 1,100m and about 1,400 employees.
The divestment is expected to be finalized as of January 31, 2002, and will generate a capital gain for the Group of SEK 1,800m.
The leisure operation is a world leader in absorption refrigerators for recreational vehicles, hotel rooms and other applications. The part divested in July had annual sales of approximately SEK 4,200 and about 1,400 employees. The divestment generated a capital gain of SEK 3,120m for the Group.
EQT Northern Europe is a private equity fund with equity commitments totalling EUR 2 billion. EQT Partners AB, acts as advisor to EQT Northern Europe and has offices in Stockholm, Copenhagen, Helsinki and Munich. EQT realizes its business concept by acquiring medium-sized companies in Northern Europe and serving as an active owner in close cooperation with management.
Electrolux is the world’s largest producer of powered appliances for kitchen, cleaning and outdoor use, such as refrigerators, washing machines, cookers, vacuum cleaners, chain saws, lawn mowers, and garden tractors. In 2000, the Group had sales of SEK 124.5 billion and approximately 87,100 employees. Every year, customers in more than 150 countries buy more than 55 million Group products for both consumer and professional use under famous brands such as Electrolux, AEG, Zanussi, Frigidiare, Eureka, Husqvarna and Flymo.
The Electrolux Press Hotline can be reached at +46 8 657 65 07.