Nobia acquires Commodore and CIE

Nobia acquires Commodore and CIE, two kitchen companies active in the private
developer market in the UK. The acquisition strengthens Nobia's position on the
UK kitchen market and enables realisation of synergy effects.
Nobia has agreed with the private owners regarding the acquisition of Commodore
and CIE Kitchens, primarily targeting private developers in London and the South
East of England.
“By the acquisition of Commodore and CIE we enter the attractive private
developer segment and strengthen our presence in the UK project market. The
acquisition is fully in line with our growth strategy to expand to markets and
segments that complement our existing business and to achieve synergies,”
comments Morten Falkenberg, President and CEO of Nobia.
The transaction has been completed and is, accordingly, not subject to any
conditions. The purchase price consists of an up-front consideration of GBP 28
million, on a cash and debt free basis, and a variable cash consideration of a
maximum of GBP 4 million, conditional upon the business performance and that key
management remain with the operation for at least the next two years.
Through synergy effects, primarily in purchasing and production, Nobia expects
the acquisition to immediately have a positive effect on Nobia’s earnings per
share and to generate an operating margin close to Nobia’s overall target of 10
percent. Commodore and CIE will be consolidated in Nobia’s accounts as of
November 1, 2015.
About Commodore and CIE
Commodore designs, manufacturers and installs mid range kitchens for property
developers and house builder clients and has a production facility in Grays,
around 30 km east of London. Commodore represents around 95 per cent of 2015
revenues for the combined group of close to GBP 40 million, and has an EBIT
margin of around 10 per cent. CIE is a niche kitchen reseller that designs and
installs high-end kitchens to prime London developments and has offices in Kent
and in London. The total number of employees is around 130. The founder and CEO
of Commodore is John White, who is also the majority shareholder in CIE.
For more information:
Mikael Norman, CFO
+46 (0)440 16 09 or +46 (0)705 94 57 29
mikael.norman@nobia.com
Lena Schattauer, Head of Communication and IR
+46 (0)8 440 16 07 or +46 (0)705 95 51 00
lena.schattauer@nobia.com
Nobia develops and sells kitchens through some twenty strong brands in Europe,
including Magnet in the UK; HTH, Norema, Sigdal, Invita and Marbodal in
Scandinavia; Petra and A la Carte in Finland; ewe, FM and Intuo in Austria, as
well as Poggenpohl globally. Nobia generates profitability by combining
economies of scale with attractive kitchen offerings. The Group has
approximately 6,400 employees and net sales of about SEK 12 billion in 2014. The
Nobia share is listed on the NASDAQ Stockholm under the ticker NOBI. Website:
www.nobia.com.