Logent Group's Strategic Acquisition and Future Financial Plans

Logent Group Expands Its Horizons with New Acquisition

Logent Finland Bidco Oy, part of the renowned SSCP Lager BidCo AB (publ) family, has taken an exciting step by reaching an agreement to acquire HUB logistics Finland Oy. This significant move is expected to bolster Logent's capabilities and reinforce its position within the Northern European logistics market.

Details of the Acquisition Agreement

The acquisition will see Logent purchasing all shares of HUB logistics, aiming for a completion date projected for the summer of 2025. However, this timeline hinges on the fulfillment of standard conditions. The overarching goal for Logent is to seamlessly integrate HUB logistics into its operations, thus enhancing service delivery for its clients.

Overview of Subsequent Notes Issue

To finance this acquisition, Logent has enlisted Nordea Bank Abp and Pareto Securities AS. They will initiate credit investor meetings to discuss the placement of subsequent senior secured notes. This initiative is part of the company’s broader financial strategy, which includes a capital markets transaction anticipated to reach SEK 200 million.

Financial Implications of the Acquisition

The capital raised through the notes will not just cover the acquisition expenses but also assist in addressing transaction costs and support ongoing corporate needs. Once the acquisition is completed, Logent expects to maintain a solid financial standing with an anticipated SEK 1,050 million in outstanding notes loan.

Strengthening Market Position

This acquisition marks a strategic enhancement for Logent and HUB logistics. Pooling their resources will enable them to serve a broader range of customers more effectively across Finland and Northern Europe. This collaboration is set to deliver improved service offerings while enhancing overall value for clients.

Projected Financial Growth

As a result of the acquisition, Logent anticipates generating pro forma net sales nearing SEK 2.7 billion, along with an expected adjusted EBITDA of approximately SEK 270 million by the first quarter of 2025. This growth illustrates the lucrative potential of combining forces in the logistics arena.

Role of Financial Advisors

Logent has entrusted Nordea Bank Abp and Pareto Securities AS as joint bookrunners overseeing the subsequent notes issue. Expert legal support is being provided by Snellman Advokatbyrå AB and Gernandt & Danielsson Advokatbyrå KB to ensure that the process aligns with all regulatory requirements.

Company Overview: Logent Group

As a noteworthy player in the logistics landscape, Logent has evolved into an independent logistics partner with a strong Nordic foundation. Since its inception, Logent has continuously expanded its service offerings, which now range from warehouse design and operational support to customs and transport management. With a successful track record, Logent has grown to achieve a turnover of approximately SEK 2.4 billion and proudly employs about 2,800 professionals across the Northern European region.

Frequently Asked Questions

What is the main purpose of Logent's acquisition of HUB logistics?

The acquisition aims to enhance Logent's service offerings and strengthen its market presence in Finland and Northern Europe.

How will the subsequent notes issue support the acquisition?

The funds raised from the subsequent notes issue will finance the acquisition, cover transaction costs, and support general corporate activities.

What financial outcomes does Logent expect post-acquisition?

Logent anticipates achieving net sales of around SEK 2.7 billion and an adjusted EBITDA of SEK 270 million within a year of the acquisition.

Who are the financial advisors involved in the acquisition?

Nordea Bank Abp and Pareto Securities AS are acting as joint bookrunners, while legal advice is provided by Snellman Advokatbyrå AB and Gernandt & Danielsson Advokatbyrå KB.

What is the significance of being a Nordic logistics partner?

Being a Nordic logistics partner enhances Logent's ability to offer tailored logistics solutions while ensuring high quality and cost-efficiency across its service portfolio.

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