M&A MARKET REVIEW

Denmark/Europe Q3 2020

Keep your edge, with M&A experts Quarterly update

who truly understand your market OCTOBER 2020
 DANIEL SAND
MANAGING PARTNER
OAKLINS DENMARK
+45 3027 7667
d.sand@dk.oaklins.com

MORTEN GERNER
ANALYST
OAKLINS DENMARK
+45 2627 6797
m.gerner@dk.oaklins.com
Introduction
Oaklins has in Denmark
throughout the past 40
years closed more than 250
transactions (sell-side and
buy-side) and is specialised
in mergers and acquisitions
of privately and family-owned
businesses.
Oaklins is the world’s largest and most
experienced M&A advisor in the mid-
market, with 850 professionals globally
and dedicated industry teams in over
45 countries worldwide. We take great
pride in our solid track record counting
5,500 closed transactions, including
more than 250 transactions in Denmark.
“Oaklins truly delivered and worked hard, also when challenges occurred and it felt like an uphill
battle. It has been like having Terminators (the good Arnold from the sequel) at our side.”
M&A Market Review - Denmark/Europe Q3 2020
In every deal, we give nothing less STRUCTURE OF THE REPORT
than our very best to do justice to the
extraordinary effort our clients give to – Chapter 1
their businesses. We became front- Highlights
runners, not because of these numbers – Chapter 2
but because of who we are and how we The M&A market in Denmark
work. – Chapter 3
The M&A market in Europe
DESCRIPTION OF THE REPORT – Chapter 4
Price development in Europe
The purpose of the report is to explain – Chapter 5
and map the movements in the Danish as Methodology
well as the European M&A market quarter – Chapter 6
by quarter. The report is based on data Selected Oaklins transactions
from Mergermarket and Infront Analytics
and is analysed on the basis of well-
established criteria for the development
of the report. The report aims to identify
trends in the market and to present the
distribution of transactions across sectors
and categories of buyers.
AKSEL STUDSGARTH – GHOST
3
Chapter 1
Highlights
Highlights
EUROPEAN AND DANISH M&A
MARKETS REMARKABLY STRONG,
DESPITE UNCERTAIN TIMES

In Denmark, the number of companies sold 57 Danish companies sold in Q3 2020

has increased by 30% from the low levels On par with Q3 2019
of Q2 2020, demonstrating a willingness
from both buyer and seller to conduct
transactions, following a hesitant first half of
2020. 1,549 European companies sold in Q3 2020
Decrease of 22% compared to Q3 2019
Considering the wider European market,
the number of companies sold increased
by 28% compared to the low levels of Q2. Financial vs. strategic buyers
However, the total number of transactions in Financial buyers make up 29% of all Danish transactions in 2020
Europe is still lower than in recent years.

As the year has progressed, financial

buyers have shown increasing appetite in
a market that has been characterised by
uncertainty.

“For us who founded the company and managed it during its 30 years of
existence, Oaklins was the perfect partner for our sale. The combination of
industry insight, professional craftsmanship and uncompromising dedication,
made it a valuable contribution from an owner's perspective.”

JAN MISSER – DATACON ENTERPRISE SOLUTIONS

M&A Market Review - Denmark/Europe Q3 2020 5

 Ch ap ter 1 - H ig h l i g h t s

SALE OF DANISH COMPANIES

80
The number of Danish companies sold 77
amounted to 57 in Q3 2020. 71
68
65
62
59 57 57 57 57
The development exhibits an increase 56
51 52
of 2% compared to the same quarter last 47 46 44
year (Q3 2019) and an increase of 30%
compared to the previous quarter (Q2
2020).

Approx. 50% of the Danish companies

acquired had international buyers.
Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3
2016 2016 2017 2017 2017 2017 2018 2018 2018 2018 2019 2019 2019 2019 2020 2020 2020

DANISH COMPANIES'
ACQUISITIONS ABROAD

Danish companies completed 21

25
acquisitions abroad in Q3 2020, which is 24 24
23 23
an increase of 11% compared to the same 21 21 21
20 20
quarter last year (Q3 2019). Compared 19
17 17
to the previous quarter (Q2 2020), the 15 15
14
development shows an increase of 5%. 13

68% of the Danish acquisitions were

within Europe, which shows a slightly
more diverse distribution than in 2019
where 75% were within Europe. The
distribution is substantially more diverse Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3
2016 2016 2017 2017 2017 2017 2018 2018 2018 2018 2019 2019 2019 2019 2020 2020 2020
than the historic observations from 2018
and 2017 where the level was 84%.

SALE OF EUROPEAN COMPANIES

2,121 2,177 2,117 2,123
2,081 2,101
The number of European companies sold 2,002 1,964 1,999
1,910 1,913 1,931
1,837
amounted to 1,549 in Q3 2020. 1,722 1,736
1,549
The development shows an increase of
1,214
28% compared to the previous quarter
(Q2 2020) and a decrease of 11%
compared to the same quarter last year
(Q3 2019).

Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3
2016 2016 2017 2017 2017 2017 2018 2018 2018 2018 2019 2019 2019 2019 2020 2020 2020

M&A Market Review - Denmark/Europe Q3 2020 6

 Ch ap ter 1 - H ig h l i g h t s

The impact of COVID-19

DANISH M&A MARKET REGAINS MOMENTUM AS TRANSACTION VOLUME INCREASES

After nearly ten years of growth, the global M&A activity experienced a setback due to the uncertainty regarding the COVID-19
pandemic. A similar trend was evident in the Danish market. This impact was most greatly felt in Q2 2020, but the market is now
showing promising signs. The European M&A market is still lower than the level of Q3 2019 but showed an increase of 29%
compared to previous quarter (Q2 2020). The promising trend is even more prominent in the Danish M&A market, as transaction
volume is on par with the same quarter last year (Q3 2019), while being 23% higher than the previous quarter (Q2 2020).

A more detailed analysis of the Danish market shows a month-by-month increase in transactions since June 2020. September 2020
also recorded the highest amount of transactions since the Danish government implemented comprehensive restrictions on 11 March
2020, as part of a nation-wide lock-down to prevent the spread of COVID-19. The lock-down of several borders across Europe and
the increased economic uncertainty has resulted in several delayed M&A processes. Despite signs of recovery, a high degree of
uncertainty is still expected in the M&A market in the foreseeable future as the duration and economic impact of the crisis is yet to be
determined.

Since the outbreak of the pandemic in Q1 2020, there has been a shift in buyer types, as interest from financial buyers has re-
emerged as the year progressed. Financial buyers in Q1 and Q2 2020 accounted for 20% and 22%, respectively, compared to 29%
in Q3 2020. This high appetite may come as the financial investors have used the first months of COVID-19 to handle operations of
existing portfolio companies and now look for acquisitions in a market that is still impacted by uncertainty.

84 85
MONTHLY DANISH TRANSACTIONS
71 69
When comparing to the quarters of the
past year, Q3 2020 is at the highest level
in terms of total transactions. The quarter
also showed an increasing number of
transactions each month. 34 32
28 26 26 28
25 24 24 25
The impact of the global COVID-19 18 19

situation is most clearly demonstrated in

Q2 2020, with the lowest amount of total
transactions.
Oct Nov Dec Q4 Jan Feb Mar Q1 Apr May Jun Q2 Jul Aug Sep Q3
2019 2020 2020 2020

*Correction for transactions not yet registered in Q3 2020: 10

M&A Market Review - Denmark/Europe Q3 2020 7

Chapter 2
The M&A market
in Denmark
 Cha p t e r 2

The M&A market in Denmark

M&A ACTIVITY REMARKABLY STRONG DESPITE COVID-19 UNCERTAINTY

The Danish M&A market enjoyed a relatively strong start to the second half of 2020 “Oaklins has completely
with a Q3 activity level in line with 2018 and 2019. Total transaction numbers are on lived up to our expectations
par with the level of the previous two years' third quarters, despite the uncertainty regarding industry expertise,
implied by the COVID-19 pandemic.
cost and timing.”
The constituents of the overall level of activity are the following: A relatively high
LASSE PETERSEN
number of Danish targets with almost half derived from cross-border transactions.
– CIDAN MACHINERY
Meanwhile, Danish companies have a continuously high appetite for international
acquisitions; a trend that has remained stable during the COVID-19 pandemic. Finally,
sales of Danish-owned, foreign companies are following the solid trend steering
towards the highest full-year level since 2014.

Among the acquired Danish companies, especially the technology sector was active,
making up 30% of all transactions. During the COVID-19 pandemic, there has been an
increased interest from financial buyers. As of Q3, financial buyers make up 29% of all
buyers in 2020, up from 22% in the first half of 2020.

ALL TRANSACTIONS IN DENMARK 382

350
All transactions in Denmark include 308 312 314 319
297 111 71
transactions with a Danish target, seller 275
75 60 86 78
or buyer. There has been a total of 85* 234 239 68 238
74 81 84
transactions in Denmark in Q3 2020. 49
60 92 62
77 72 65 85
57 73
This development shows an increase of 59 89 92
88 101
23% compared to the previous quarter 93 83 82 69
56 71 64
(Q2 2020) and is one transaction more
than the same quarter last year (Q3 2019). 101 103 84
59 62 64 63 77 75 75 78

2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020
1st quarter 2nd quarter 3rd quarter 4th quarter Correction
*Correction for transactions not yet registered: 10

SALE OF DANISH COMPANIES

262
236 239 243
Sale of Danish companies include
209 205 213
transactions with a Danish target and 80 51
62 57
buyers from all countries. 57* Danish 170 44
159 159 54 39
companies have been acquired during 56 153
46 57
Q3 2020. 49 50 47
41 38 44 54
57
The development is an increase of 30% 39 35 39 77 57 65
62 70
64 57
compared to the previous quarter (Q2 44
41 45 43
2020) and one transaction more than the
55 57 57 59 68 71
same quarter last year (Q3 2019). 38 41 39 47 52

2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020
1st quarter 2nd quarter 3rd quarter 4th quarter Correction

*Correction for transactions not yet registered: 6

M&A Market Review - Denmark/Europe Q3 2020 9

 Ch ap ter 2 – T h e M & A mar ket in D e n m a rk

SECTOR DISTRIBUTION / TOP 5

Among the 127 registered acquisitions Technology

of Danish companies in 2020, 72% of all Other 30%
28%
transactions were distributed within five
sectors.

In comparison, the distribution of the Healthcare

top 5 sectors comprising 77% of all 10%
transactions looked as follows in 2019:
Technology (22%), Industrial (22%),
Services (16%), Consumer & Retail (10%), Industrial
Healthcare (7%). Consumer 15%
& Retail
8%
Services
9%

BUYER TYPES
Financial
Buyers behind Danish company 29%
transactions were primarily strategic
players, accounting for 71% of all
acquisitions in 2020. The remaining 29%
of buyers are classified as financial.

In comparison, 70% of all buyers were

strategic and 30% financial in 2019.

Strategic
71%

DANISH COMPANIES ACQUIRED BY FOREIGN, ACTIVITY OF PRIVATE EQUITY FUNDS AND OTHER
STRATEGIC BUYERS IN Q2 2020 FINANCIAL INVESTORS IN DENMARK IN Q3 2020

(Selected registered transactions) (Selected registered transactions)

– Axel Johnson International – EQT Partners

has acquired Caldan Conveyor A/S has acquired Chr. Hansen Natural Colors A/S
– Dustin Group – Röko
has acquired Exato A/S has acquired a stake in Lundberg Tech A/S (85%)
– Devoteam – Priveq
has acquired Inviso ApS has acquired Trendhim ApS
– Kahoot! – Nordic Capital
has acquired Actimo ApS has acquired a stake in Siteimprove A/S (70%)
– Schibsted – Waterland Private Equity
has acquired DBA.dk and Bilbasen.dk through the has acquired Modstrom Danmark A/S
acquisition of eBay Classifieds Group – Polaris Private Equity
has acquired a stake in and merged four bus service
companies to establish Vikingbus A/S (60%)

M&A Market Review - Denmark/Europe Q3 2020 10

 Ch ap ter 2 – T h e M & A mar ket in D e n m a rk

FOREIGN COMPANIES' 133

124 127
ACQUISITIONS IN DENMARK 120
112 32
108
In Q3 2020, 29 Danish companies were 35 36
33
sold to foreign buyers. This is more than 89 20 28
79 27
twice the amount of transactions in the 72 71 72
23 26 24 31 24
previous quarter (Q2 2020). 28
23 15 29
This is a 21% increase compared to the 45 23 25
32 37
same quarter last year (Q3 2019). 79 72 17 29 33 14
18 37 38
30 23 28 29 29
22
13

2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020
1st quarter 2nd quarter 3rd quarter 4th quarter

GEOGRAPHICAL DISTRIBUTION
OF FOREIGN COMPANIES' •
44%
ACQUISITIONS IN DENMARK

In 2020, 80% of foreign buyers came

from Europe, among these 44% from the
36%
Nordic countries. 15% of the buyers came 15%
from North America and 5% from Asia.
5%
In 2019, the distribution looked as follows:
Europe (75%), North America (16%) and
Asia (9%).

DANISH COMPANIES' 94
ACQUISITIONS ABROAD
82
24
Danish companies acquired 21* foreign
67 68 17
companies during Q3 2020. This is on 65 64
59 61
par with the record high levels of 2018 14 13 56
13 21
48 15 19
and 2019, which indicates a continuously 45 20 17 21
healthy appetite for international 6 20 21 13
14 21
acquisitions. This is a trend that has 25 23
14 15 14 20
remained fairly stable despite the severe 11 13 21
impact of the COVID-19 pandemic. 21 23
8 14 15 12
20 24 23 20
15 11 10 11 13 15
9

2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020
1st quarter 2nd quarter 3rd quarter 4th quarter Correction

*Correction for transactions not yet registered: 3

M&A Market Review - Denmark/Europe Q3 2020 11

 Ch ap ter 2 – T h e M & A mar ket in D e n m a rk

GEOGRAPHICAL DISTRIBUTION
OF DANISH COMPANIES'
30%
ACQUISITIONS ABROAD

In 2020, 68% of all Danish acquisitions

were in Europe, among these 30% in the
38%
Nordic countries. 16% of the acquisitions 16%
were in North America, 10% in Asia, 4% in
Africa and 2% in Australia. 10%

In 2019, the distribution looked as follows:

Europe (75%), North America (19%), Asia 4% 2%

(3%) and 1% in South America, Australia,

Africa, respectively.

DANISH COMPANIES'
39
DIVESTMENTS OF FOREIGN 37
35
COMPANIES 34
8
5 11
27 8
In Q3 2020, Danish companies sold 25 26 25
8 24
seven* foreign companies, which is 5 22
3
17 4 7
two companies more than the previous 12 7
14 7 16
quarter (Q2 2020) and two less than the 9
12
7 3 9
5
same quarter last year (Q3 2019). 3 4 6 7
5 4
7 8
7 6 3
10 11 3 12
9 9 9
6 5 6 5 4

2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020
1st quarter 2nd quarter 3rd quarter 4th quarter Correction

*Correction for transactions not yet registered: 1

DANISH COMPANIES' STRATEGIC ACQUISITIONS ABROAD

IN Q3 2020

(Selected registered transactions)

– SKIOLD A/S “Oaklins' understanding of our

has acquired Rotecna, S.A. niche and negotiating skills
– KMD A/S towards the right international
has acquired Concent AS buyers has been crucial for
– A.P. Møller - Maersk A/S the good result. We are very
has acquired KGH Customs Services AB pleased with their efforts.”
– Chr. Hansen Holding A/S
has acquired Jennewein Biotechnologie GmbH LARS BENDIXEN
– Per Aarsleff A/S – ELMA INSTRUMENTS
has acquired Sor-norsk Boring AS

M&A Market Review - Denmark/Europe Q3 2020 12

Chapter 3
The M&A market
in Europe
 Ch a p t e r 3

The M&A market in Europe

EUROPEAN MARKET RAMPS UP ACQUISITION ACTIVITY

The impact of the current COVID-19 pandemic is still evident in Q3 2020 for the
“Oaklins found the perfect
European M&A market. However, signs of recovery are showing with increasing
match for our company.
M&A activity. The transaction volume in Q3 2020 shows a promising development.
The potential is gigantic.”
Though the M&A activity level is lower than last year, Q3 of 2020 showed an
SIMON STAMPE
increasing number of sales of European companies, European acquisitions outside
Europe and divestments of European companies, when compared to the previous – BLOOMINGVILLE
quarter (Q2 2020). There appears to be an element of catch-up effect, with
transactions initially put on hold due to COVID-19, that have now been agreed in
the past quarter.

ALL TRANSACTIONS IN EUROPE

10,125 10,132
All transactions in Europe include 9,845
transactions with a European target, seller 9,081
8,270 8,366 2,616 2,628
or buyer. There has been a total of 1,990* 2,577
7,245 2,355
European transactions in Q3 2020. 6,738 6,725 2,161 2,172
5,975 5,685
2,025 2,417 2,476 2,461
1,606 1,842 2,144
The development shows an increase of 1,629 2,025 2,146
29% compared to the previous quarter 1,682 1,797 1,990
1,572
1,529 2,565 2,640 2,590
(Q2 2020), and a decrease of 19% 2,106 2,103
2,449
1,539
compared to the same quarter last year 1,834 1,660 1,781
1,487
(Q3 2019). 1,651 1,642 1,978 1,945 2,133 2,286 2,393 2,453 2,156
1,330 1,616

2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020
1st quarter 2nd quarter 3rd quarter 4th quarter Corrrection

*Correction for transactions not yet registered: 315

SALE OF EUROPEAN COMPANIES 8,227 8,170

7,952
7,402
Sale of European companies include 6,653 6,818 2,117 2,123
2,081
European targets acquired by buyers 5,849 1,910
5,535 5,411 1,755
from all countries. In Q3 2020, 1,549* 4,888
1,747
European companies were acquired. 1,331 1,604 1,913 2,002 1,982 4,499
1,455 1,722
1,317 1,608 1,737
1,373 1,450 1,549
The development shows an increase of 1,251
2,177 2,101
1,240 2,027 2,121
28% compared to the previous quarter 1,702 1,728 1,214
1,498 1,333 1,450
(Q2 2020), and a decrease of 22% 1,231
compared to the same quarter last year 1,596 1,598 1,743 1,837 1,931 1,964 1,736
1,100 1,333 1,372 1,345
(Q3 2019).
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020
1st quarter 2nd quarter 3rd quarter 4th quarter Correction

*Correction for transactions not yet registered: 260

M&A Market Review - Denmark/Europe Q3 2020 14

 Ch ap ter 3 – T h e M & A mar ket in E u ro p e

1,499
1,437
EUROPEAN COMPANIES' 1,416

ACQUISITIONS OUTSIDE EUROPE 1,191

1,241 384
1,157 380 364
984 317
European companies have acquired 319* 888 905 301 311 903
companies outside Europe during Q3 368 369
762 317 391
193 255 306
2020. 300
307 319
229
224 228 372
234 364
The development shows an increase of 330 327 259
201 306 270
23% compared to the previous quarter 251 216 223
174
(Q2 2020), and a decrease of 14% 288 318 341 374 325
220 200 216 284 269
158
compared to the same quarter last year
(Q3 2019). 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020
1st quarter 2nd quarter 3rd quarter 4th quarter Correction

*Correction for transactions not yet registered: 45

EUROPEAN COMPANIES' 477 472

DIVESTMENTS OF NON-EUROPEAN 409 412 426 438 422
391
COMPANIES 116 121
325 104 113 128 96
315 132 106
283
European companies have sold 122* 83
113 119
82 106
companies based outside Europe during 119 117 116
87 102
122
Q3 2020. 88 85 117
99 117
111 108 98 92
105 66
82 85
The development shows an increase of 131 121 115
72 79 81 98 78 102 95
85% compared to the previous quarter 63

(Q2 2020), and is broadly on par with the 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020
same quarter last year (Q3 2019). 1st quarter 2nd quarter 3rd quarter 4th quarter Correction

*Correction for transactions not yet registered: 10

M&A Market Review - Denmark/Europe Q3 2020 15

Chapter 4
Price development
in Europe
 Ch a p t e r 4

Price development in Europe

TRANSACTION PRICING REMAINS STABLE

The EV/EBITDA-multiple development in Europe shows a decrease in the index from 119 in 2019 to 118 as Q3 2020 comes to an
end. Looking at the past 3-5 years, the valuations of privately traded European companies are relatively stable with no or limited
indication of inflated prices. Compared to the stock market index, private companies have, on average, been traded at an increasing
discount. This is likely to give some resilience in relation to the recent public market share price fluctuations in response to the
COVID-19 situation, and particularly in the context of the past months' public market rebound.

Despite lower transaction volume, prices on private companies remain stable. It is however still too uncertain to conclude on the
severity of COVID-19's possible impact on pricing of private company transactions. With the current COVID-19 uncertainty, buyers
are increasingly thorough in their due diligence efforts, considering how a target will perform during these circumstances, and how it
would perform during a potential longer-lasting downturn.

PRICING OF PRIVATE COMPANIES REMAINS LESS VOLATILE THAN THE STOCK MARKET

The indexation of the EV/EBITDA-multiple (median) for transactions in Europe in 2020 is at index 118. This is slightly lower than
2019. However, it should be noted that the calculations are based on 231 preliminary observations for Q3 2020 compared to 635
observations for the full year 2019.

175

160

145
127
130 124 121 119
118 118
113
115 109 109
106
115 115
100 94
106
103
100 99
85

70

55
2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020
Stock market index Price index private companies
Number of observations
866 957 1,119 960 462 720 759 719 721 905 834 975 875 741 635 231

– The trend of the price development on the M&A market tends to follow the general movement in listed stock prices with
a delay of 3-6 months
– Transactions with a deal value of at least $5m are included
– EBITDA = earnings before interest, tax, depreciation and amortisation
– EV = Enterprise Value
– Indeks 100 = Year 2005
– The price level is affected by relatively large transactions
– The stock index Dow Jones Stoxx 600-index is a broad index comprising the largest European companies

M&A Market Review - Denmark/Europe Q3 2020 17

Chapter 5
Methodology
METHODOLOGY CRITERIA FOR THE DATA USED
EUROPE
The time of the transaction is defined as For transactions with known deal value,
the announcement date. Transactions are the transaction value must be larger than – Albania – Isle of Man
not included if an offer is subsequently or equal to $5m. – Andorra – Italy
expired or withdrawn. – Armenia – Latvia
– Austria – Lichtenstein
The analysis of the Danish M&A Market Denmark
– Azerbaijan – Lithuania
includes both sales of Danish companies, At least one of the parties involved must
– Belarus – Luxembourg
Danish companies' acquistions of be Danish (buyer, seller or target).
– Belgium – Macedonia
foreign companies, Danish companies' – Bosnia- – Malta
divestments of foreign companies as Transactions where the deal value is
Herzegovina – Moldovia
well as foreign companies' acquisitions in unknown are included.
– Bulgaria – Monaco
Denmark. – Channel – Montenegro
Transactions are included if the
ownership stake traded is more than 30% Islands – the
The analysis includes comparison to – the Czech Netherlands
or unknown.
sales of European companies, European Republic – Norway
companies' acquisitions of companies – Croatia – Poland
Europe
outside Europe as well as European – Cyprus – Portugal
companies' divestments of non-European At least one of the parties involved must
– Denmark – Romania
companies. be European (buyer, seller or target).
– Estonia – Russia
– the Faroe – San Marino
The prevailing analysis includes revised Transactions where the deal value is
Islands – Serbia
data for the period 1st April 2019 to 30th unknown are included.
– Finland – Slovakia
September 2020. – France – Slovenia
Transactions are included if the
– Georgia – Spain
There has been added a correction ownership stake traded is more than 30%
– Germany – Sweden
for the number of not yet registered or unknown.
– Gibraltar – Switzerland
transactions to the data from Q3 2020, – Greece – Turkey
based on historical experience. – Greenland – Ukraine
– Hungary – United
– Iceland Kingdom
– Ireland

M&A Market Review - Denmark/Europe Q3 2020 19

Chapter 6
Selected Oaklins
transactions
 DEAL NEWS | INDUSTRIAL MACHINERY & COMPONENTS

AXEL JOHNSON INTERNATIONAL
EXPANDS WITHIN INDUSTRIAL
AUTOMATION THROUGH THE
ACQUISITION OF CALDAN
CONVEYOR, CREATING A STRONG
PARTNERSHIP IN DELIVERY
OF OVERHEAD AND FLOOR
CONVEYOR SYSTEMS.
The acquisition of Caldan is well aligned
with Axel Johnson International’s long-
term strategy to provide complete
technical solutions for a variety of
industrial customers. Caldan will
become an integral part of Axel Johnson
International’s recently formed industrial
automation segment and part of the
business group Industrial Solutions.
Headquartered in Stockholm, Sweden,
the Axel Johnson group was founded in
1873 and remains in family ownership,
now in the fourth and fifth generations.
Axel Johnson International acquires
and develops companies with profitable
growth in strategically selected niche
markets, primarily technical components
and industrial process solutions. Axel
Johnson International companies employ
4,400 people in 30 countries. Annual
sales exceed EUR 1,100 million.
Headquartered outside Aarhus,
Denmark, Caldan is a leading supplier of
overhead and floor conveyor systems.
The company has 130 employees and
more than 50 years of experience within
design, manufacture and installation of
internal transport systems for automated
surface treatment processes and
materials handling. Caldan is a market
leader in its niche in Europe and a strong
player in the Asian and North American
markets. The company has installed more
than 4,500 conveyor systems across a
wide range of industries.
The transaction is subject to clearance by
relevant, local competition authorities.
Deal team
Oaklins was engaged by Axel Johnson
International as strategic and buy-side
M&A advisor.

“The Oaklins team was highly dedicated and has long experience in providing buy-side advice.
We couldn’t be happier with the guidance and support that they provided throughout the process.”

HANS GLEMSTEDT,
HEAD OF STRATEGY AND M&A – AXEL JOHNSON INTERNATIONAL

M&A Market Review - Denmark/Europe Q3 2020 21

 DEAL NEWS | INDUSTRIAL MACHINERY & COMPONENTS

RÖKO, A SWEDISH INVESTMENT
FIRM, MAKES ITS FIRST DANISH
ACQUISITION – LUNDBERG TECH,
A LEADING DANISH SUPPLIER OF
WASTE HANDLING SYSTEMS TO A
GLOBAL MARKET.
Röko has a strategy of building a group of
independent and strong businesses, with
proven capabilities evidenced through
good financial performance and leading
positions in their respective markets.
The acquired companies continue to
work independently in a decentralised
structure, with support from the Röko
team in developing the strategic
direction.
Röko now owns 85% of Lundberg Tech
and the management team, who are all
continuing under the new ownership,
owns 15%.
Röko is a Swedish based investment
firm with €270 million in committed
capital. The ambition is to be a true
long-term owner of European small- and
medium sized businesses. Röko has
a local presence in Sweden, Norway
and Germany, and the team has vast
experience from working with founder-
and entrepreneur led companies across a
broad range of industries.
Lundberg Tech develops and
manufactures granulators, all-in-one-units
and systems. The offering is designed
to convey, cut and collect waste from
production processes in industries such
as labelling, flexible packaging, food
and pharma. Lundberg Tech is a global,
profitable niche company headquartered
close to Copenhagen in Lille Skensved,
and with employees in five countries.
Deal team
Oaklins' team in Denmark was engaged
by Röko as strategic and financial advisor.

“We have had a fruitful collaboration with Oaklins, which has been instrumental in securing the
acquisition – our first transaction in Denmark.”

TOMAS BILLING, CHAIRMAN & CO-FOUNDER – RÖKO

M&A Market Review - Denmark/Europe Q3 2020 22

 DEAL NEWS | AGRICULTURE

SKIOLD, A DENMARK-
HEADQUARTERED
COMPANY, ACQUIRES SPAIN-
HEADQUARTERED ROTECNA,
CREATING A STRONG
PARTNERSHIP IN DELIVERY OF
COMPLETE PIG FARM SOLUTIONS.
SKIOLD, headquarted in Sæby, Denmark,
has more than 140 years of experience
providing seed-, feed-, and farm-
equipment and solutions. SKIOLD covers
the complete value chain from field to
livestock, including seed processing,
grain handling, feed milling, and poultry-,
cattle- and pig farming equipment.
Founded in 1991 and headquartered in
Agramunt, Spain, Rotecna specialises in
the design, manufacture and marketing
of equipment and solutions for the pig
farming industry. Enabled by its innovative
DNA, Rotecna has played a central role
in supporting the development of Spain’s
pork production industry, and has grown
consistently over the past 10 years from
c. EUR 10m in revenue in 2010 to nearly
EUR 50m in 2020.
Since 2016, Rotecna has been partly
owned by the Spanish private equity
investors Talde and Oquendo. Rotecna
will become a part of SKIOLD’s existing
pig business unit, nearly doubling its size
in terms of revenue.
The combination of SKIOLD and Rotecna
delivers clear strategic benefits to both
companies, including a stronger global
footprint and enhanced platform to
grow in new markets, a broader product
portfolio of leading technologies and
increased scale to support investments in
R&D, including digital solutions. With this
acquisition, SKIOLD group’s revenue is
approaching EUR 200m.
Deal team
Oaklins was engaged to advise SKIOLD
and its majority shareholder Solix Group,
as strategic and financial advisor in
the transaction; a joint effort between
Oaklins’ teams in Denmark and Spain.

“By combining our business we will be able to serve our customers even better through
a strengthened product portfolio and increased scale to build an even more comprehensive
sales and service network globally.”

SØREN OVERGAARD, CEO – SKIOLD

M&A Market Review - Denmark/Europe Q3 2020 23

 DEAL NEWS | TMT

THE SHAREHOLDERS OF GRAZPER
TECHNOLOGIES HAVE SOLD
THE COMPANY TO YOKOGAWA
ELECTRIC CORPORATION.
Grazper Technologies was founded in
2015 and has advanced into an artificial
intelligence (AI) software development
power-house based in Copenhagen,
Denmark, with highly motivated engineers,
software developers and computer
scientists. Grazper has developed a
platform to build full stack proprietary real-
time 3D vision solutions using embedded
AI. The platform can support networks of
installed cameras and embed intellectual
property into edge devices for intelligent
machine vision applications. The solution,
in its current form, facilitates automatic
monitoring of cars, cyclists or pedestrians,
with the purpose of smoothing traffic
flow or creating automated behavioral
customer analysis in supermarkets – using
cameras that stream video directly to an
external location for manual or automatic
analysis.
Founded in 1915, Yokogawa is a leading
provider of industrial automation and test
and measurement solutions. Combining
superior technology with engineering
services, project management, and
maintenance, Yokogawa delivers field
proven operational efficiency, safety,
quality and reliability. The industrial
automation business provides vital
products, services and solutions to a
diverse range of industries, including
oil, chemicals, natural gas, power, iron
and steel, and pulp and paper. With its
innovation business, the company also
aims to radically improve productivity
across the pharmaceutical and food
industry value chains. Yokogawa has a
global network of 113 companies spanning
60 countries and generating US$3.6
billion in sales in 2018.
Deal team
Oaklins’ team in Denmark acted as
strategic and financial advisors to the
sellers in this transaction.

“Before presented by Oaklins, we didn’t know Yokogawa with their impressive track-record and
strategic ambition to enter the AI field. Becoming a center of excellence for their global operations
from our Copenhagen base is very appealing to us, and if it hadn’t been for Oaklins’ global access and
seamless execution, we wouldn’t have been in this extremely exciting situation.”

THOMAS JAKOBSEN – CEO & CO-FOUNDER, GRAZPER

M&A Market Review - Denmark/Europe Q3 2020 24

 Ch ap ter 6 – Selec ted Oak lin s tr ans a c t i o n s

M&A Market Review - Denmark/Europe Q3 2020 25

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