Seafire has signed on the dotted line to acquire Sweden-based Luda.Farm for SEK 28.00 million (EUR 3.18 million) in cash.
The consideration includes an upfront sum of SEK 24.00 million, as well as a potential earnout of SEK 4.00 million.
Seafire will finance the acquisition through its own funds, seller reverse and admission loans from the Scandinavian Credit Fund.
The deal is due to complete on 1st October 2020.
Luda.Farm provides a range of surveillance and smart technology products to help farmers save money and increase the control and security of their properties.
Its offerings include vehicle cameras, fence alarms, forklift cameras and antenna kits.
The company has also developed My.Luda.Farm, a cloud-based service that is connected to a number of cameras and sensors for real-time monitoring.
Luda.Farm sells its products throughout 20 countries worldwide, including Sweden, France, Germany and the UK.
Formed in 2003, the target has nine employees and operates offices across Gothenburg,
In 2019, Luda.Farm posted sales of SEK 34.00 million, with an operating profit after depreciation of around SEK 6.00 million.
Upon closing, the company will become part of Seafire’s trade and services segment.
Johan Bennarsten, chief executive of the buyer, said: “Luda.Farm has a strong business model with its own products and a cloud-based SaaS [software-as-a-service] solution for an industry with greater needs.
“The company has a well-developed marketing and sales model to support continued good sales development. We look forward to developing the company further and improving market positions and to developing new markets.”
Seafire also expects the transaction to have a positive effect on its annual revenue for 2020.
There have been 989 deals targeting navigational, measuring, electromedical and control instruments manufacturers announced worldwide in 2020 to date.
Siemens Healthineers, via Siemens Healthineers Holding I, agreed to buy US-based Varian Medical Systems for USD 16.40 billion in the most valuable of these.
The deal represented the third-largest transaction on record for this sector.
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