Livingstone’s Business Services team has advised PCS Modulsystem on its sale to Part Group. The transaction is a perfect match for the two specialists in modular building and an example of Livingstone’s deep sector knowledge, as well as an established network of entrepreneurs, in building services.
Part Group acquires 60 percent of PCS Modulsystem, with an option to buy the remaining 40 percent in three years from PCS’s founder Per-Olof Ekberg. PCS becomes the 6th specialized building services company in the Group and the business will continue to operate and develop under the management of Ekberg, who remains as CEO.
“Livingstone’s team has guided me through a number of challenging situations during the sales process. It’s been reassuring to have their experience and negotiation skills on my side, and I really appreciate the fact that they at the same time have been perceptive to what I’ve deemed important,” says Per-Olof Ekberg, CEO at PCS Modulsystem.
PCS Modulsystem was founded in 1993 and specializes in the rental of high-quality temporary premises. The company has the ability to tailor modules according to a customers’ needs, due to a comprehensive modular building concept that covers the whole chain from initial design, manufacturing to on-site assembly and operation of rented modules.
PCS has a significant number of modules in ongoing rental contracts with clients and have achieved a notable market position. The family-owned industrial group Part Group was founded during the early 90s in Kalix, in the far north of Sweden, and to this day operates the majority of the business and production there.
Part Group are focused on industrial building processes and comprise five service companies with 450 employees, of which 300 are in Kalix. The company is managed by the third generation of the Lundholm family. Construction companies specializing in modular buildings like PCS are well-positioned;Livingstone sees a significant increase in demand on the back of demographic trends like urbanization and population growth. Modular, or industrial, building techniques offer great advantages for the buyer compared to on-site construction. The modules are assembled indoors in a controlled environment, minimizing installation times while maintaining quality.
“We saw great interest in PCS from both financial and strategic buyers, which is always pleasing. It’s also rewarding when we get to handle challenges by using the full breadth of our expertise. In this transaction, we got to use not only our experience from the building services sector, but early on set-up an optimal ownership structure in preparation for a sale, and finished with careful strategic negotiations,” said Francesco Di Folco, Director at Livingstone.
Livingstone was the exclusive financial advisor and Wistrand was the legal advisor to PCS Modulsystem in the sales process.