THE Swedish-based listed business Nobia has acquired Yorkshire-based Rixonway Kitchens.
Nobia has agreed a deal with August Equity and the management of Rixonway Kitchens, to acquire 100 per cent of the shares of Rollfold Holdings, which is the parent company of Rixonway Kitchens.
The purchase price consists of an “up-front” consideration of £31m, on a cash and debt free basis, and a variable cash consideration of a maximum of £3m. The variable payment is conditional upon the business performance, and the key management will remain in place until at least March 2016.
Morten Falkenberg, president and CEO of Nobia, said: “The acquisition of Rixonway Kitchens is part of our growth strategy to expand to markets and segments that complement Nobia’s existing businesses.”
Dewsbury-based Rixonway Kitchens, which was founded in 1978, supplies kitchens primarily to UK construction companies who are active in social housing. Rixonway Kitchens has net sales of approximately
£40m and employs around 480 staff. Paul Rose, the CEO of Rixonway Kitchens, has been with the business since 1992. Giles Taylor and Chris Stott from KPMG have advised Nobia in connection with the deal.