Tech group Allgon acquires fast-growing satellite manufacturer Satmission
Allgon acquires the fast-growing satellite manufacturer Satmission, based in Kalix, northern Sweden, through a purchase of all shares from the current owners. The acquisition is Allgon’s fourth in total and the second consecutive with Livingstone as advisor. Allgon AB is a Swedish corporate group of niche subsidiaries with operations in wireless communications and the Internet of Things. Allgon has a target to build a corporate group consisting of 10–15 companies with total sales well in excess of SEK 1 billion through both organic expansion and strategic acquisitions.
Satmission AB has a staff of 10 employees and manufactures satellite equipment for commercial use. The company has gained a large number of new clients and experienced a combined growth of 300 percent during the last three years. Turnover for 2016 amounted to SEK 25 million, with an operating profit of SEK 3.5 million. Satmission has developed a number of satellite-based communications solutions for commercial use. Clients are partly in media and broadcasting, and party in rescue and safety, which account for around half of sales. The owners are today comprised of the founders and employees, together with Almi Invest and Startkapital i Norr.
“Allgon now makes its forth acquisition and Satmission fits in well with our growth strategy to identity and buy companies with potential to develop further within the Allgon group. Satmission is on an impressive journey and has most importantly become a recognised market player with customers, with potential to continue evolving on an interesting market,” says Johan Hårdén, CEO at Allgon.
“Livingstone has relentlessly supported us in another transaction and we are happy to have their advice and guidance. The team has excellent ability to find commercially attractive solutions for both parties,” says Johan Hårdén.
“We continue our long-term collaboration with Allgon to further its expansion strategy. Satmission is an impressive entrepreneurial company with a strong position in a market with great potential for the future. We are excited to follow how Satmission grows and develops within Allgon,” says Dan Parksjö, Associate at Livingstone.
Livingstone acted as exclusive advisor to Allgon AB. This is the second acquisition Livingstone advises Allgon on; the first was WSI, Wireless System Integration Sweden, in September 2016.