By Dominic Chopping
STOCKHOLM–Swedish home-improvement e-commerce group BHG Group AB said late Wednesday that it has agreed to acquire HYMA Skog & Tradgard AB for up to 1.6 billion Swedish kronor ($193.6 million).
HYMA primarily sells garden products, tools and machinery for home use via online channels in the Nordic region.
“The acquisition will further strengthen BHG’s breadth and depth in key DIY categories, creating favorable opportunities for continued growth in BHG’s online platforms in the Nordic region,” BHG said.
Consideration for the deal comprises an initial SEK542 million in cash and SEK458 million in newly issued shares, while up to a further SEK500 million will become payable based on earnings before interest, taxes and amortization in 2022.
The initial consideration will be paid on closing, which is expected to take place in the third quarter of 2021, it added.
HYMA’s sales for the 2020 financial year increased 28% compared to the previous year to SEK744 million and its Ebita margin amounted to just over 7%.
“BHG sees opportunities for significant synergies through scale and sourcing advantages, cross-selling and sharing of best practices,” it said.
Write to Dominic Chopping at [email protected]