Teqnion AB Expands Footprint with Acquisition of Avelair Limited

In a strategic move to bolster its industrial portfolio, Teqnion AB has acquired all outstanding shares of Avelair Limited, a UK-based company renowned for its energy-efficient rotary screw air compressors. Founded in 1993 and headquartered in Bury St. Edmunds, Avelair has established itself as a leader in providing comprehensive solutions for compressed air efficiency, safety, and reliability.

Avelair's product range, spanning from 2.2kW to 160kW, has been pivotal in generating predictable and significant recurring revenues, thanks to its large installed base. The company's strong market presence is further reinforced by a dedicated team led by CEO David Wood, who has been instrumental in driving growth through word of mouth and customer recommendations since joining the company in 2003 and taking the helm in 2013.

David Wood expressed his enthusiasm about the acquisition, stating, "I feel happy to continue to build Avelair with Teqnion as the new forever home for Avelair. I feel confident that the Avelair team together with Daniel, Johan, and the Teqnion team can continue to grow the company and develop our offering in providing clients with market-leading compressed air advice, services, and products to benefit their businesses."

Johan Steene, CEO of Teqnion, echoed this sentiment, highlighting the synergy between the two companies. "It's a great day now that Avelair has joined the Teqnion group. They're a great technical design company with tons of experience and skills. We love strong brands backed by awesome teams. This is going to be fun!" he remarked.

The acquisition, effective immediately, is not expected to have a significant impact on Teqnion's financials for the 2024 fiscal year. However, it signifies Teqnion's commitment to expanding its international footprint and strengthening its position in the industrial sector. This acquisition marks Teqnion's sixth outside of Sweden and its fifth in the UK, underscoring its strategic focus on acquiring stable niche companies with robust cash flows.

Teqnion AB operates with a decentralized management approach, providing support to its subsidiaries while focusing on profitability and long-term sustainable business relationships. The company's shares are traded on the Nasdaq First North Growth Market, reflecting its solid financial standing and growth potential.

As Teqnion continues to expand its industrial portfolio, investors may find this acquisition a promising indicator of the company's growth trajectory. The addition of Avelair, with its strong market reputation and recurring revenue model, is likely to enhance Teqnion's overall value proposition.

For more information, visit Avelair's website and Teqnion's website.