Notes for P&L

All amounts in SEKm unless otherwise stated

Note 33 Acquisitions within business areas

Acquisitions	Country	Date of acquisition	Net sales, SEKm¹	Number of employees¹	Business area
AddVision Group	Germany	April, 2021	700	190	Medtech
Healthcare 21 Group	Ireland	April, 2021	1,700	450	Medtech
Bio-Connect Group	Netherlands	September, 2021	140	31	Labtech
Fischer Medical ApS	Denmark	November, 2021	60	12	Medtech
Camanio AB	Sweden	December, 2021	13	18	Medtech
MBA Incorporado S.L	Spain	January, 2022	670	285	Medtech
Business from Telia Health Monitoring	Sweden	March, 2022	4	8	Medtech
O'Flynn Medical Ltd	Ireland	April, 2022	64	36	Medtech
BioCat GmbH	Germany	April, 2022	90	20	Labtech
JK Lab Nordic AB	Sweden	July, 2022	24	6	Labtech
¹ Refers to conditions at the time of acquisition on a full-year basis.

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According to the acquisition analyses, the acquisitions carried out during financial year 2022 were as follows:
			Fair value
Intangible non-current assets			582
Other non-current assets			428
Inventories			274
Other current assets			457
Deferred tax liability/tax asset			-133
Other liabilities			-1,024
Acquired net assets			584
Goodwill			412
Consideration¹			996
Less: cash and cash equivalents in acquired businesses			-200
Contingent consideration not yet paid			-21
Effect on the Group’s cash and cash equivalents			775
¹ The consideration is stated excluding acquisition expenses.

According to the acquisition analyses, the acquisitions carried out during financial year 2021 were as follows:
	Fair value	of which AddVision	of which Healthcare 21 Group
Intangible non-current assets	1,967	821	890
Other non-current assets	219	54	163
Inventories	566	139	405
Other current assets	529	205	267
Deferred tax liability/tax asset	-367	-163	-157
Other liabilities	-1,256	-275	-923
Acquired net assets	1,658	781	645
Goodwill	3,399	1,234	2,002
Consideration¹	5,057	2,015	2,647
Less: cash and cash equivalents in acquired businesses	-140	-67	-47
Less: Consideration paid with shares	-1,806	-1,004	-802
Contingent consideration not yet paid	-272	-187	-46
Effect on the Group’s cash and cash equivalents	2,839	757	1,752
¹ The consideration is stated excluding acquisition expenses.

All acquisition analyses was determined. The unspecified amounts refer to assets and equity and are not significant.

The combined consideration for the acquisitions was SEK 996 million (5,057), of which SEK 412 million (3,399) was allocated to goodwill and SEK 582 million (1,967) to other intangible assets. The consideration consists of cash payment. The transaction costs for acquisitions with a takeover date during the 2022 financial year totalled SEK 12 million (56) and are recognised in selling expenses.

The outcome of additional contingent considerations depends on the results achieved in the companies and has a set maximum level. The fair value of not yet paid contingent consideration for acquisitions made during the financial year is calculated to SEK 21 million. which is approximately 94 percent of the maximum outcome.

The values allocated to intangible assets, such as supplier relationships, were assessed at the discounted value of future cash flows. The amortisation period is determined by estimating the annual decrease in sales attributable to each asset.

Supplier relationships are generally amortised over a period of 10 years. The goodwill that arose in connection with the acquisitions is due to the fact that the Group's position in the current market for each acquisition is expected to be strengthened and to the knowledge gained in the acquired companies.

The goodwill resulting from the acquisitions is attributable to expectations that the Group's position in the market in question for each acquisition will grow stronger and to the knowledge accumulated in the companies acquired.

The combined effect of the acquisitions, on consolidated net sales was SEK 952 million (1,750), while the combined effect on EBITA was SEK 162 million (211), operating profit was SEK 114 million (73) and after-tax profit for the year was SEK 62 million (26). Had the acquisitions, been completed on 1 January 2022, their impact would have been approximately SEK 1,011 million (2,530) on consolidated net sales, SEK 174 million (309) on EBITA, about SEK 122 million (112) on operating profit, and about SEK 68 million (48) on profit after-tax.