ASSA ABLOY UNSP/ADR - ASAZY STOCK NEWS

ASSA ABLOY has signed a definitive agreement to acquire JOTEC Service & Vertriebsges.mbh, a leading industrial door distributor and service provider in Germany. This strategic acquisition aims to enhance ASSA ABLOY's entrance automation offering. JOTEC, established in 1985 and employing around 100 staff, reported sales of approximately €19 million in 2021. The transaction is anticipated to positively impact earnings per share (EPS) immediately upon closure, which is expected in the second quarter of 2022 pending regulatory approval.

ASSA ABLOY has announced an agreement to acquire Vigil Health Solutions Inc., a leader in call systems and monitoring solutions for senior living, enhancing its offerings in this sector. Founded in 1998, Vigil reported sales of approximately MCAD 6 (around MSEK 40) in 2020. The acquisition is expected to be accretive to EPS immediately and is anticipated to close in Q1 2022. ASSA ABLOY aims to leverage Vigil's innovative technologies to broaden its market reach and improve services for senior care.

ASSA ABLOY has completed the acquisition of B&B Roadway and Security Solutions, a U.S. manufacturer specializing in roadway safety and perimeter security solutions. Established in 1925, B&B generated approximately MUSD 14 in sales with a good EBIT margin in 2020. This acquisition will enhance ASSA ABLOY's geographic footprint in the U.S. and is expected to be accretive to EPS from the outset. CEO Nico Delvaux expressed confidence in the synergistic potential of this acquisition for further market expansion.

The acquisition of the HHI division from Spectrum Brands by ASSA ABLOY is valued at MUSD 4,300, expected to finalize in 2022 after regulatory approval. Initially planned for Q4 2021, the regulatory process continues to progress. ASSA ABLOY's President and CEO, Nico Delvaux, expressed confidence in the acquisition, highlighting its strategic importance as the company aims to strengthen its position in access solutions.

ASSA ABLOY reported an 8% increase in net sales for Q3 2021, reaching SEK 23,930 M, driven by strong organic growth of 7% in the Americas and Entrance Systems. However, sales dropped in Asia Pacific due to lockdowns. The company signed agreements for five acquisitions, including HHI, enhancing its North American residential business. Operating income (EBIT) fell 6% to SEK 3,392 M, with an operating margin of 14.2%. Net income decreased by 5% to SEK 2,392 M, while earnings per share were SEK 2.15.

ASSA ABLOY AB has announced its Nomination Committee for the Annual General Meeting (AGM) 2022, to be chaired by Johan Hjertonsson from Investment AB Latour. Other members include representatives from Melker Schörling AB, Swedbank Robur Fonder, Alecta, and Handelsbanken Fonder. The Committee will propose candidates for various board positions and fees. The AGM is scheduled for April 27, 2022, in Stockholm, Sweden. Shareholders may submit proposals via email.

ASSA ABLOY has announced a definitive agreement to acquire Arran Isle, a prominent UK and Ireland manufacturer of door and window hardware. The acquisition aligns with ASSA ABLOY's strategy to enhance its product offerings, particularly in the EMEIA region. Arran Isle, established in 1971, generated sales of approximately MGBP 100 (around MSEK 1,200) in 2020 and employs around 560 staff. The deal is anticipated to be EPS accretive from the outset and is expected to close in Q4 2021, pending regulatory approval.

ASSA ABLOY has signed an agreement to acquire the Hardware and Home Improvement (HHI) division of Spectrum Brands for MUSD 4,300. HHI is a prominent provider of security and plumbing products in North America, with net sales of MUSD 1,342 and an adjusted EBITDA margin of around 19% for the fiscal year ending September 2020. The acquisition aims to enhance ASSA ABLOY's residential business in North America and is expected to add approximately 14% to its consolidated sales. The deal is expected to close in Q4 2021, pending regulatory approval.

ASSA ABLOY has announced the acquisition of Omni-ID, a US-based leader in RFID tags and industrial IoT hardware, for an undisclosed amount. This strategic move is expected to boost ASSA ABLOY's RFID and IoT offerings, particularly in emerging markets like India and China. Omni-ID, established in 2007 with around 170 employees, recorded sales of approximately USD 13 million in 2020. However, the acquisition is expected to be dilutive to EPS from the start. The integration aims to enhance customer service and expand manufacturing capabilities.