Beijer Ref to acquire Patton
17th March 2015
SWEDEN: Beijer Ref is to acquire the New Zealand refrigeration wholesaler Patton.
In addition to Patton’s New Zealand head office and operations, the acquisition includes the company’s interests in Australia, India and Thailand.
Beijer Ref is one of the largest refrigeration wholesalers in the world and the acquisition is a significant step forward in the company’s strategy to continue its growth outside Europe.
“This is a key acquisition which gives us a foothold in the important markets New Zealand, Australia and India and, at the same time, strengthens our existing operation in Thailand,” commented Beijer Ref CEO Per Bertland.
“Patton is an established company with a long tradition and a strong growth potential in its markets. The company eminently fits our profile,” he added.
Founded in 1923, Patton is the leading refrigeration wholesaler in New Zealand, boasting around 35% of the market and with total annual sales of approximately SEK400m (€45m).
Patton has a broad product portfolio with brands such as Mitsubishi Electric, Emerson, Embraco and Than. It also manufactures its own products, sold under the Patton brand.
The company has nine branches in New Zealand, 65 employees and sales of SEK175m (€19m).
In Australia, the company has established a significant operation with 14 branches, 53 employees and sales of SEK190m (€21m).
Patton has had a manufacturing operation in Thailand since 2007. It has sales of SEK30m (€3.2m), 62 employees and is operated through the joint-venture company, Patton Aero. The products are mainly sold in India, the Middle East, South East Asia and Australia. In 2014, the company moved into new 3,700m² premises, giving it the capacity to triple its current production.
In India, Patton has established an operation with five branches, 22 employees and sales of SEK15m (€1.6m).
”Beijer Ref complements Patton’s current product supply with several strong international brands, which are currently missing in its product portfolio,” continued Per Bertland. “It means that Beijer Ref, with its overall product offer, will become more competitive in these markets. In addition, we see synergies on the purchasing side as well as on the production side.”
