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CapVest and Lantmännen partner to create premier Nordic poultry producer

CapVest Equity Partners II and Lantmännen ek have created the leading Nordic poultry producer through the simultaneous acquisition of Kronfågel Group in Sweden and Denmark from Lantmännen, and Cardinal Foods in Norway from CapMan.

The new company will have a turnover of more than SEK5bn, while the ownership structure positions the business for further development in international markets, as well as opportunities for product development and innovation.
The new company will consist of Kronfågel, SweHatch and Skånefågel in Sweden, Danpo in Denmark and Cardinal Foods in Norway. It will be led by a team of executives drawn from both Kronfågel Group and Cardinal Foods, and is intended to be headed by Leif Bergvall Hansen as group CEO.
Kate Briant, partner at CapVest and incoming chairman, says: “Food is one of our core investment sectors. It is fundamentally non-discretionary while offering strong potential for consolidation and growth. This transaction combines market leading businesses with an exceptional management team, creating a platform from which to grow and expand both locally and further afield.”
“This is a positive deal for everyone involved, creating a platform for a strong, collected focus on the poultry industry in all of Scandinavia. This transaction will benefit customers and consumers through increased resources for product development. Through this transaction, Lantmännen is realising the value created during our time as owner of Kronfågel Group. Partnering with CapVest to form the Nordic leader in the industry, we will also continue to participate in future value growth,” says Per Olof Nyman, CEO and group president of Lantmännen.
CapVest will be the controlling shareholder (52 per cent) and Lantmännen will hold a significant minority stake (48 per cent). The terms of the transaction are undisclosed. Completion is subject to Danish, Swedish and Norwegian Competition Authority approval. Further information on the group’s name and structure will be announced in the coming weeks.
Debt financing was provided by Nordea and DNB NOR.

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