Ratos’s Euromaint takes hit after German divestment

The sale will cause a SEK 200m loss of revenue for Euromaint Group and follows several years of poor financial performance, and a severe negative earnings trend in 2015 as a result of project delays and low volumes.

Ratos said it expects Euromaint's poor overall performance and the sale of the German subsidiary to result in a substantial impairment of the company's book value. The adjusted value of Euromaint will be published in the GP's year-end report, though the value as of 30 September 2015 was SEK 702m.

Following the divestment, Euromaint will continue to increase its focus on its core business in Sweden.

Previous funding
Ratos acquired 100% of Euromaint in August 2007 through an MBO valued at €130m, of which a €47.8m equity stake was provided by the GP.

Euromaint completed two bolt-ons in 2009, worth a total of €20m.

Company
Headquartered in Solna, Euromaint is a Swedish provider of maintenance services for the rail transport industry.

From January to September last year the Swedish operations of Euromaint generated SEK 1.2bn in revenues with EBITDA of SEK 65m. The company employs a staff of 1,200.

People
Susanna Campbell is the CEO of Ratos.

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• Topics
• Nordics
• Exits
• Support services
• DACH
• Sweden
• Ratos Holding
• Partial sale
• Germany