Norgesdekk buys 67% of Valla Däck AB
Norwegian tyre business Norgesdekk has bought 67 per cent of the shares of Valla Dack AB as part of a move into the Swedish market. The Swedish business, which turns 40 this year, had a turnover of more than SEK 190 million in 2021 (£15.444 million; 18.330 million euros).
Valla Däck AB is described as “a traditional wholesaler for tyres and aluminium rims”. The company consists of Valla Däck AB with its subsidiaries Valla Däckverkstad AB and Idealimport AB which sell balancing weights and repair materials. The three previous owners are brothers Conny Gustavsson, Kenneth Undberg plus Mats Andersson who will keep the remaining 33 per cent of the shares and continue their work. Mats Andersson, who has worked in the company since 2021 will now take on the role of CEO and lead day-to-day operations.
“Norgesdekk has had a organic development in recent years, but we have wanted to increase the growth rate to meet more international competition and to become an even more attractive partner for our customers and suppliers”, said CEO of Norgesdekk Ansgar Raastad.
“Sweden is a market we have been following for quite some time. It has many similarities with Norway, especially with regard to the climate and importance of Nordic winter tyres and is thus a natural market to establish ourselves in when we now want growth outside of Norway”.
Norgesdekk chief financial officer, product manager, board member and shareholder Jone Stangeland added: “We are impressed by what the talented gang in Valla Däck AB has achieved and the way they do things makes us confident that this is going to be a good match.”
“When the company was started as a local rubber workshop in Valla, I never dreamed that we would be where we are today”, Conny Gustavsson commented, adding: “It is with pride that my brother Kenneth and I now sum up the journey so far. After 40 years, employees, suppliers and customers have become part of ourselves, and it was therefore crucial for us to find the right partner for the next step. We feel that Norgesdekk is the partner we wanted with the right background, corporate culture and the right people. We believe that both employees and we will thrive together with our customers and suppliers, old and new. I feel great enthusiasm and great confidence in the exciting journey we and Norgesdekk have taken with this agreement”.
In 2014 Norgesdekk expanded by acquisition, but the latest purchase is the first for several years.