Formia Technology Group Oy grows by acquisition and stren...

Formia Technology Group Oy grows by acquisition and strengthens its balance by selling real property

• Vesme Systems becomes the basis of Formia materials handling
• Formia real property to a fund managed by Sponda

Formia Technology Group Oy has acquired the entire capital stock of Vesme Systems Oy, a company specialized in industrial materials handling solutions. The acquisition made public on Monday strengthens Formia’s position as a partner of steel constructors, paper industry and environmental and energy companies. At the same time, the turnover of the group grows significantly.

Owing to the Vesme Systems Oy stock purchase, the pro forma turnover of the Formia group reached 23.0 million euros in 2006. In 2004 – 2006 the increase in the turnover amounted to about 50 percent. The predicted pro forma turnover of the group for the current year is about 28 million euros. The result of 2007 will be good. The order volume of the Formia group’s affiliates for 2008 is the highest ever in the history of these companies, and the strong growth of their turnover will continue also in 2008.

The gearing ratio of Formia group increased to over 45 percent after it sold the industrial real estates in Jyväskylä, Seinäjoki and Kauhajoki to a fund managed by Sponda for the debt free purchase price of 9.35 million euros. The Formia affiliates continue their operation in the current premises as renters of the fund.

Vesme Systems Oy is renamed Formia Vesme Oy. Formia Vesme Oy constitutes the Formia materials handling center of expertise. The unit strengthens the group’s design and production resources and improves the potential of Formia to deliver ever larger entities to the expanding clientele.

”We offer our customers solutions for managing and developing their production chains. Our Jyväskylä center of expertise in steel construction (Formia Construction Oy), Seinäjoki center of expertise in sheet metal work (Formia Lakeus Oy) and Kauhajoki center of expertise in materials handling (Formia Vesme Oy) are together able to deliver even complete factories”, states the Chairman of Board of Formia Technology Group, Jukka Salminen.