SKT, a portfolio company of Litorina, joins forces with FANN, thereby creating the Nordic market leader within customized and environmentally based sewage solutions – Northern Environmental and Water Solutions (NEWS). Both companies have a history of solid financial performance, with strong growth and good profitability. The combined turnover for the new group is approximately SEK 250 million.
Both SKT and FANN offer customized sewage solutions for households not connected to municipal wastewater treatment. Being active in adjacent parts of the market, in Sweden as well as internationally, both companies have leading positions in their respective segments. The companies will continue to operate under their respective brands, however, the combination will introduce a more complete offer towards the customer. The new company will also facilitate significant synergies in both sales and production and will support an acceleration of both companies’ international expansion.
FANN is focused on customized small scale sewage solutions based on passive wastewater treatment technology and operates through wholly owned subsidiaries in Sweden, Finland and Poland, and through partners in several other European countries. FANN has its own manufacturing facilities in Sweden and Poland. SKT specializes in customized pressurized sewage solutions that connect to the municipal wastewater treatment network and operates through wholly owned subsidiaries in Sweden, Norway and Finland, and through a partner in Denmark.
“SKT has successfully worked with wastewater solutions in rural and transitional areas for more than 40 years. With FANN as part of the group, our offering of effective solutions is strengthened also outside of the ‘municipal reach’. For our customers, this will result in a more comprehensive product and service offering where the best of both companies is brought forward, creating an even stronger combined entity.” says Torbjörn Jansson, CEO of SKT.
“Both SKT and FANN are leaders in their respective market segments. Together, we achieve an even stronger customer offering, opening up for new mutual opportunities and creating a solid platform for future expansion. The new group has many exciting growth initiatives which I look forward to continue working with” says Johan Hedin, Chairman and principal owner of FANN.
“We are very excited about the merger of SKT and FANN and we see strong industrial logic in the combination. The companies complement each other exceptionally well, both in terms of customer offering and geographic presence. Through the transaction a larger player is created with a leading position in the Nordic region within intelligent and environmentally based solutions. As the principal owner, Litorina looks forward to working with the Board and management in supporting the continued development of the group “, says Jörgen Ekberg, Managing Partner at Litorina Capital Advisors, investment advisor to Litorina IV.
Litorina IV, the principal owner of SKT, remains the majority shareholder in the newly formed group. Former owners and key personnel in both SKT and FANN are, together with the members of the board, considerable shareholders alongside Litorina IV.
Jörgen Ekberg – Managing Partner, Litorina Capital Advisors AB
Phone +46 (0)708 11 31 60
FANN, founded in 1990, is a leading environmental engineering company focusing on sewage solutions essentially based on passive wastewater treatment technology. The company provides solutions for more remote properties based on environmentally sound technologies with proprietary customized solutions. Operations are conducted through subsidiaries in Sweden, Finland and Poland, as well as through partners in several other European countries. The company has about 55 employees and manufacturing in Sweden and Poland. FANN has had strong financial performance with high profitable growth for many years and currently has a turnover of around SEK 90 million. For more information, please visit www.fann.se.
SKT, founded in the late 1970’s, is a leading company in the market for pressurized sewage solutions in the Nordic market. The company offers products and services within pressurized sewage, such as consulting, planning, co-ordination and products and components for pressurized sewage systems and adjacent areas. SKT operates through wholly owned subsidiaries in Sweden, Norway and Finland, and is active in Denmark through a partner. The company has revenues of some SEK 160 million. For further information, please visit www.kommunalteknik.se.
Litorina, founded in 1998, is a private equity firm that focuses on acquiring and industrially developing primarily Swedish companies together with their management. Litorina offers broad and deep expertise both via its own organization and through its network of industrial advisors. Litorina is backed by a number of reputable institutions that have jointly invested approximately SEK 4.8 billion in Litorina’s four funds. For more information, please visit www.litorina.se.