The fastgrowing Swedish high tech-company W5 Solutions AB (” W5 Solutions”) – listed on Nasdaq First North – has today entered into an agreement to acquire MR Targets AB (“MR Targets”), a leading shooting target equipment manufacturer. This is to meet the growing demand within the Live fire training market.
MR Targets has reported strong organic growth with a turnover of approximately 18.7m SEK 2021 with an EBIT of 5.5mSek and about twelve employees.
W5 Solutions develops, designs and delivers cutting-edge technology in civil protection and defense to both governments and companies with the task of protecting democracy.
“This is an important acquisition due to the increased customer demand in this business area considering the recent geopolitical environment. Live Fire training is one of the ways we work towards creating the safer tomorrow” says Daniel Hopstadius, CEO W5 Solutions, and continues:
“There are many opportunities for synergies between the two companies through this acquisition. We foresee an even greater interest in our high-tech solutions for training based on cutting edge technology given the recent tragic development in Eastern Europe.”
Within W5 solutions Live fire training is part of the largest business unit Training and Simulation, making up approximately 65% of turnover. With this acquisition, W5 Solutions will expand its Live fire training product range, increase production capacity, and strengthen the company´s position within the shooting target equipment market.
Based in Junsele, Sweden, MR Targets is a leading shooting equipment manufacturer founded in 1991. Focusing on design, development, and the manufacturing of shooting targets for professional, sporting, and hunting customers. With a full range of Turning, moving, and pop-up targets, which can be arranged to create different training scenarios. MR Targets has been a long-term supplier to W5 Solutions delivering key components and systems to our Live fire product range on the Swedish and international market.
The purchase price amounts to 20m SEK, half of which is paid directly, from own cash, and the remaining part is paid no later than within 18 months.
Completion of transaction
The transaction is subject to certain closing conditions, including Due Diligence and is estimated to be completed in April 2022. The Board intends to publish a notice of an Extraordinary General Meeting in a separate press release for the purpose of deciding on the approval of the transaction.
The company is listed on the Nasdaq First North Growth Market. Redeye AB is the company’s Certified Advisor, e-mail: firstname.lastname@example.org, phone: +46 (0) 8 121 57 690.