PANOSTAJA EXPANDS ITS BUSINESS INTO BUILDING TECHNOLOGY RENOVATION SERVICES FOR HOUSES BY BUYING A 60 PER CENT SHAREHOLDING IN KOTISUN OY

Panostaja Oyj                       Stock Exchange Bulletin May 7, 2014                      13:00 p.m.

Panostaja Oyj has bought a 60 per cent shareholding in KotiSun Oy, a company offering service water and heating network renovation services. As a result of the transaction, Panostaja expands its business operations and establishes within the Group a new business area specializing in building technology renovation for houses.

KotiSun Oy is Finland’s leading company in service water and heating network building technology renovations for houses. The company’s business is based on reliability, strong concept expertise, efficient implementation and customer-orientedness, offering customers renovation services on a turnkey principle. In the 2013 financial year, the company had net sales of MEUR 12.5 and employs about 120 staff. Its head office is situated in Jyväskylä and it has offices in Helsinki, Tampere, Oulu, Turku, Kuopio, Lahti, Rovaniemi, Lappeenranta and Seinäjoki.

The purchase price paid for the entire shareholding of the company is MEUR 11.7. The sellers also have the chance of an additional purchase price of up to MEUR 3.0, which will be set based on the operating margin for the 2014 calendar year. 

As part of the arrangement, KotiSun Oy’s owners continue as minority shareholders in the new segment with a 40 per cent shareholding. KotiSun Oy Managing Director Kalle Lahtinen will continue as the company’s Managing Director and also as a major shareholder.

Panostaja’s objective is to build around KotiSun a nationally leading company in building technology renovation services for houses.

 ”The need for service water and heating network renovation is becoming increasingly topical for most Finnish houses. The sector has good prospects for growth and we are very convinced about the ability of KotiSun’s business concept to respond to future opportunities. KotiSun has grown rapidly to be the largest and best-known operator in the sector in Finland, and it is a very profitable company. In future, customers will increasingly require from their renovation partner the customer-orientedness, reliability, quality, guarantees and environmental values which KotiSun strongly represents,” says Panostaja CEO Juha Sarsama. 

”We are happy to have found a renowned and reliable partner that values the entrepreneurial spirit and with whom we can continue in the active development of the company to the next stage. Together we will accelerate the company’s expansion to a national network of offices, and we will endeavor to take advantage of the considerable opportunities for the growth of services that support the present business. We will get the necessary additional tools and management systems for the new stage,” says KotiSun Oy’s Managing Director Kalle Lahtinen.

Panostaja’s result management

Panostaja keeps its result management issued on March 5, 2014 unaltered. The Group’s comparable net sales in the 2014 financial period are expected to be greater than in 2013 (MEUR 167.0). It is expected that the Group’s comparable EBIT (MEUR 3.3) will improve in the 2014 financial period.

The discontinued operations of the Takoma segment and the divestment of the Supports segment from the Group have been taken into account in result management.

KotiSun Oy’s net sales and EBIT in the financial periods from January 1, 2013 to December 31, 2013 and January 1, 2012 to December 31, 2012 were as follows (FAS):

(EUR1,000)

The balance sheets in the financial statements on December 31, 2013 and December 31, 2012 were as follows:

(EUR1,000)

Panostaja Oyj

Juha Sarsama

CEO

Further information:

CEO Juha Sarsama +358 40 774 2099

KotiSun Oy Managing Director Kalle Lahtinen +358 40 4177 962

Panostaja is an investment company developing Finnish SMEs in the role of an active majority shareholder. The company aims to be the most sought-after partner for business owners selling their companies as well as for the best managers and investors. Together with its partners, Panostaja increases the Group's shareholder value and creates Finnish success stories. After this transaction, Panostaja Oyj operates in nine business areas, and Panostaja Group employs some 1,400 staff. Panostaja’s shares (PNA1V) are quoted on the NASDAQ OMX Helsinki Stock Exchange. In the 2013 financial year, the Group’s net sales totaled MEUR 179.6.
www.panostaja.fi

Founded in 2006, KotiSun Oy is a company specializing in building technology renovations for houses. The company offers consumers conceptualized service water and heating network renovations as a turnkey service. KotiSun has grown rapidly into the largest and best-known company in the sector in Finland. Its head office is situated in Jyväskylä and it has offices in Helsinki, Tampere, Oulu, Turku, Kuopio, Lahti, Rovaniemi, Lappeenranta and Seinäjoki. In 2013, the company had net sales of MEUR 12.5 and it employs about 120 staff.
www.kotisun.fi