NKT, a leading manufacturer in power cables and accessories, has acquired SolidAl, a Portuguese power cable producer, from Njord Partners. This strategic acquisition aims to bolster NKT’s medium- and high-voltage capacities to meet increasing demand from power grid upgrades and renewable energy projects across Europe. The acquisition includes plans to invest an additional EUR 50 million to expand capacity at SolidAl’s existing site. SolidAl’s 2023 revenue stood at approximately EUR 150 million with an EBITDA of EUR 20 million, and the total enterprise value of the deal was EUR 192 million, reflecting an EV/EBITDA multiple of 9.4x (or 7.0x including synergies). NKT aims to support its medium-term financial goals, including achieving a Return on Capital Employed (RoCE) of over 20% with this acquisition. The transaction, effective immediately, will see SolidAl’s contributions to NKT’s financial performance beginning from the date of closing.

Power Cables and Accessories, Renewable Energy,Portugal, Europe

https://www.globenewswire.com/news-release/2024/06/21/2902130/0/en/NKT-acquires-SolidAl-adding-medium-and-high-voltage-capacity-to-address-growing-grid-demand.html