IK Investment Partners to sell Axtone Group to ITTIK


IK Investment Partners (“IK”) is pleased to announce that the IK 2004 Fund has reached an agreement to sell Axtone Group S.A. (“Axtone” or “the Company”), a leading manufacturer of highly engineered and customised components for railway industry, to ITT Inc., a US stock quoted manufacturer of engineered critical components and technology solutions for the energy, transportation, and industrial markets worldwide. Financial terms of the transaction are not disclosed.

Axtone is Europe’s premier manufacturer of buffers, draw-gear devices, railway springs as well as other shock absorption and safety components for rail and metro vehicles and rail infrastructure. With over 200 product certificates and customers across the globe, the Company’s solutions fulfil the requirements of European, UIC, Russian GOST and Chinese TB/T technical standards. Axtone is headquartered in Kanczuga, Poland and manufactures its products across six locations in Poland, Germany, Czech Republic and Russia as well as in a joint-venture in China.

“Together with Axtone’s management, we have successfully transformed the Company from a European freight buffer manufacturer to a global provider of customised solutions for shock absorption to the rail industry. During IK’s ownership, we supported two add-on acquisitions within railway springs as well as fostered a restructuring of the Company’s operations and footprint. Our investment in Axtone demonstrates IK’s ability to support CEE companies, particularly in terms of international expansion and the implementation of transformational agendas. We wish the Company and its management team the very best in their next step of development,” said Detlef Dinsel, Partner at IK and advisor to the IK 2004 Fund.

“The partnership with a new owner is a real acknowledgement of the achievements of Axtone, and we would like to thank IK for their support. Axtone is well-positioned to benefit from its unique technologies and brand recognition. We are pleased with the opportunity to join ITT’s legacy KONI brand, as we have a shared commitment to innovation, quality and unrivalled performance,” said Oliver Feicks, CEO of Axtone.

The transaction is expected to close in the first quarter of 2017, subject to customary closing conditions, including receipt of appropriate regulatory approvals.

Categories: News


Ratos AB: Ratos divests Euromaint


Ratos has signed an agreement to divest 100% of the shares in its subsidiary Euromaint, Sweden’s leading independent maintenance company for the rail transport industry, to SSVP, a mid-market private equity fund advised by Orlando Management. Enterprise Value amounts to SEK 650m. The divestment is not estimated to generate any exit results for Ratos.

Ratos acquired Euromaint in 2007 in conjunction with the ongoing deregulation of the train operator market. Throughout its history, the company has focused on delivery of high-quality rail maintenance services, thereby strengthening its market position as a leading maintenance provider for Sweden’s premium fleets, including Arlanda Express, X2000 and Stockholm commuter trains. The company has about 1,050 employees, with annual sales of approximately SEK 1,600m. The Euromaint German operations were divested in 2015 in order to streamline operations.

“Euromaint’s ability to deliver high quality services has strengthened the company’s position in the market for train maintenance. Ratos has owned Euromaint since 2007, and we believe that now is a good time for a new owner to take over,” says Lars Johansson, acting CEO of Ratos.

An agreement has been signed for the sale of 100% of the shares. The divestment is not estimated to generate any exit results for Ratos, taking into consideration the earlier announced impairment of book value that will be set in the third quarter accounts. The investment has generated a negative annual average return (IRR). The transaction is expected to be completed in the fourth quarter of 2016.

For further information, please contact:

Elin Ljung, Head of Corporate Communications, Ratos, +46 8 700 17 20, elin.ljung@ratos.se

Lars Johansson, Acting CEO Ratos, +46 8 700 17 00, lars.johansson@ratos.se

Categories: News