Industri Kapital, a Swedish buyout firm, has made its 10th investment in 16 months by agreeing to buy Elfa, a catalogue distributor of electronic components, from its family owners for approximately €130 million ($163 million).
The deal takes Industri Kapital a step closer to launching its fundraising expected in the first half of next year. Its current fund is 55% committed according to a source close to the firm.
Stockholm-based Elfa, was founded in 1945 by Nils Jensen and has been owned and managed by his family for more than sixty years. The company operates in the Nordic countries, Poland, the Baltic countries and Russia, distributing 130,000 catalogues annually to 51,000 customers.
In 2005 the company achieved sales of €88 million most of which came from the maintenance, repair and overhaul market segments. A source close to the deal said Industri Kapital planned to grow the company through acquisitions and had capital set aside for this.
The Jensen family will remain as minority shareholders in Elfa.