NCC divests Road Services Denmark to Mutares
NCC divests Road Services Denmark to the German based holding company Mutares (Frankfurt Stock Exchange: MUX). The transaction is expected to have a marginal positive effect on NCC earnings and cash flow in connection with closing, expected in the second quarter.
NCC took the decision to divest the Road Services division since it has few synergies with other parts of the business and has been loss-making, but it is a business that can develop well in another context. In July 2020, the Swedish and Finnish part of Road Services were divested to Mutares, who now acquires also the Danish part of the business.
”Mutares is already the owner of the business in Sweden and Finland, under the name Terranor, and we have now agreed that they will also take over the business in Denmark. Mutares offers a good platform for future development”, says Kenneth Nilsson, Head of business area NCC Infrastructure.
NCC Road Services in Denmark has several operating agreements and specialist fields in sweeping, road service area maintenance, signage, and traffic handling, weed control and in situ cast curbstone. Road Services Denmark works nationwide through seven regional offices. The business has approximately 200 employees.
The transaction is done through a share purchase agreement and closing is expected in the second quarter 2021. The transaction is not expected to require approval from the Danish competition authorities.
“We are proud of an additional opportunity to collaborate with NCC on a second acquisition within only a few months. We can say with confidence that we have done a great job with Terranor so far. Now, we are excited to welcome Road Services Denmark into our portfolio”, says Johannes Laumann, CIO of Mutares.
About Mutares Mutares is a holding company that acquires medium sized companies with a potential for improvement. It was established in 2008 and has some 90 co-workers in six offices across Europe. Mutares is listed on the Frankfurt Stock Exchange.
About NCC NCC is one of the leading construction companies in the Nordics. Based on its expertise in managing complex construction processes, NCC contributes to the positive impact of construction for its customers and society. Operations include commercial property development, building and infrastructure project contracting, and asphalt and stone materials production. In 2020, NCC had sales of SEK 54 bn and 14,500 employees. The NCC shares are listed on Nasdaq Stockholm.