Administration Report

Acquisitions

AddLife is constantly looking for companies to acquire and is engaged in discussions with several potential companies. Six acquisitions were completed and closed during the financial year. The year’s acquisitions were in both the Labtech and Medtech business areas.

AddLife philosophy for acquisitions:

• The subsidiaries can make smaller add-on acquisitions to strengthen operations within their niche

• The business areas can expand and build market and/or product positions in selected market segments 
• The business areas can add new market segments in areas where we see opportunities to gain market leadership

The following acquisitions were completed during the year:

• Euroclone S.p.A: On 28 November 2019 AddLife signed an agreement for the acquisition of 100 percent of shares in Euroclone S.p.A, with closing on 8 January 2020. The company is expected to contribute about SEK 280 million to annual sales. The Italian Euroclone is a leading supplier of instruments and consumables in the field of cell and molecular biology. The acquisition represents AddLife’s entry into the Italian market in a segment in which the AddLife is already an established supplier in the Nordic market through the BioNordika companies.
• TechniPro Pulmomed Pty Ltd: On 31 August 2020 AddLife acquired all shares in the Australian company Technipro-Pulmomed Pty Limited for the Medtech business area. The company has five employees and sales of about SEK 13 million. The company is a distributor for medical device products for care of chronic lung diseases, the same agent as in the Nordic markets. The company was integrated into the existing company in Australia after the takeover.
• Ropox AS: The Danish company Ropox A/S was acquired on 1 October. The company develops, designs and produces customised kitchens, bathroom fittings and assistive technology for the elderly and people with special needs. The company also sells products from other manufacturers in the same segment. The company has 73 employees and sales of about SEK 95 million. The acquisition facilitates entry into the home care segment in Denmark and complements the company’s existing Nordic operations relating to home care in the Medtech business area.
• DACH Medical Group: On 1 October all shares in Dach Medical Group were acquired. The group is active in Austria, Switzerland and Germany in advanced surgery. The company has 23 employees and sales of about SEK 145 million. The acquisition is a good complement to existing operations in advanced surgery at AddLife.
• Zafe Care Systems AB: On 1 October all shares in Zafe Care Systems AB were acquired. The company has 21 employees and sales of approximately SEK 34 million. The company is a well-established supplier of welfare technology to more than 200 municipalities in Sweden and the acquisition strengthens and complements AddLife’s existing offering in welfare technology in the Nordic region.
• SIAD Healthcare s.p.a.: On 18 September 2020 AddLife signed an agreement for the acquisition of SIAD Healthcare s.p.a.’s operations in the advanced surgery product area, with sales of about EUR 8 million. The acquisition was approved by the Italian authorities on 1 December 2020. The operation has 17 employees and sales of about SEK 80 million in the Italian market. In conjunction with the acquisition, the business was transferred to a newly formed company called Biomedica Italia s.r.l.

The total purchase price for this year's six acquisitions is SEK 479 million. Had the acquisitions been completed on 1 January 2020, their impact would have been approximately SEK 783 million on consolidated net sales, SEK 94 million on EBITA, about SEK 65 million on operating profit and about SEK 46 million on profit after tax for the year. During the year a total of 197 (43) employees joined AddLife through acquisitions.