Harju Elekter has decided to centralise production in Sweden by moving the
various units of the Swedish subsidiary to Västerås and Malmö, as well as
establish new plants in these locations in order to expand its business
activities. As a result of the decision, Harju Elekter AB signed a letter of
intent and a lease agreement today, on 13 September, for the establishment of an
office and production building in Västerås and for a new production building to
be constructed in Malmö, respectively.
In order to lease the 3,000 m(2) building in Malmö, which will be completed by
the end of 2022, a ten-year lease agreement was entered into with Nyfosa AB. For
the purpose of establishing the 6,000 m(2) building in Västerås, a letter of
intent was signed to purchase LC Development Fastigheter 17 AB, currently a
wholly owned subsidiary of Wästbygg Gruppen AB. LC Development Fastigheter 17 AB
will be charged with the management of issues related to property and
construction. The letter of intent is valid only if the Real Estate Council of
the City of Västerås agrees to sell a specific plot of land to LC Development
Fastigheter 17 AB for the establishment of the plant. The acquisition of the
company's shares is planned to be completed no later than 1 November 2022. Both
production buildings will be established by Wästbygg Gruppen AB for Harju
Elekter.
The concentration of Harju Elekter AB's operations in Malmö and Västerås will
ensure more efficient production, lower logistics costs, and better security of
supply for customers, serving as a prerequisite for profitable growth in Sweden.
Nyfosa AB is a transaction-based property company that creates value by
accumulating sustainable cash flows and continuously evaluating new business
opportunities. Nyfosa's shares have been listed on Nasdaq Stockholm since 2018.
The Wästbygg Group is a construction and project development company with
operations in the most rapidly expanding markets in Sweden. The company, which
is listed on Nasdaq Stockholm, builds and develops residential, commercial
buildings and community service properties, as well as logistics and industrial
facilities - always with a strong focus on sustainability. In 2020, the company
had a revenue of about SEK 3,8 billion and 310 employees.
Harju Elekter is an international industrial group with more than 50 years of
experience, with its main activity being the development and production of
electrical and automation solutions. An increasingly significant portion of
Harju Elekter's technical solutions are aimed at the renewable energy sector,
thus offering complete plans for solar power plants, electric vehicle charging
stations and other related solutions. Its factories in Estonia, Finland, Sweden,
and Lithuania employ approximately 800 specialists, and the Group's sales
revenues for the first six months 2021 were 67,0 million euros. The shares of
Harju Elekter are listed on the Nasdaq Tallinn Stock Exchange.
Tiit Atso
Chairman of the Management Board
+372 674 7400
Prepared by:
Marit Tack
Corporate Communications Manager
+372 5340 8444
Email: marit.tack@harjuelekter.com
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