SPAIN/NORWAY. Duty free retailer and ship supplier Provimar has confirmed the sale of the business to Norway’s Eitzen Maritime Services (EMS).
Provimar Managing Director Juan Sunet said: “This Saturday, 30 June, the purchasing agreement of Provimar Group shares was signed on behalf of the Norwegian company EMS, belonging to the Eitzen Group. The signed contract is only pending final approval from the Board of Competition under the Spanish Stock Exchange as well as the compliance of some legal administrative matters which are in due process.”
As we reported previously, EMS agreed to buy Provimar for an enterprise value of €31 million. Of this, €3.5 million of the deal will be settled in EMS shares, 79% to Provimar’s leading shareholder 3i and the remainder to Provimar management. Through the deal 3i becomes the second largest shareholder in EMS.
EMS has a Ship Management Division (known as TESMA), a Maritime Insurance Division and a Ship Supply Division, into which Provimar will integrate. Sales at the Ship Supply Division will increase by an estimated +150% following the acquisition of Provimar. Provimar had revenues of €100 million in 2006.
Sunet added: “The integration of Provimar into EMS allows for the creation of a strong company with extraordinary growth potential worldwide. EMS has offices in Rotterdam, Singapore, Norway, Poland and India. This structure together with that of Provimar is completely compatible and it allows for the creation of a network of offices capable of servicing our clients on a worldwide scale.
“The current managers of Provimar will remain in the same positions and hold the same responsibilities as at present, working proactively to achieve a fast integration into EMS and allowing for everybody to profit from the advantages obtained through this.
“We would like to thank our staff for their efforts in enabling us to reach this important moment. I am convinced that we can count on their continuous commitment, intelligence and professionalism in this new venture.
“I would like to thank our current majority share holder 3i for the support and understanding of our not always easily understood industry as well as the peculiarities of Provimar, and also to the Board Members of 3i for their work, dedication and help assuring the growth of the Provimar Group.”
MORE STORIES ON THE PROVIMAR PURCHASE
Norway’s Eitzen Maritime Services closes in on purchase of Provimar – 24/05/07
