LETT assists Hydratech Industries A/S (”Hydratech”) in strengthening its equity with DKK 62m by a process where the largest shareholders have converted loans into equity. Its liquidity has been enhanced by new debt financing and extension of banking agreements with the Group’s financial lenders.
7 February 2017
In LETT, Karsten Pedersen, Henrik Sjørslev and Martin Chr. Kruhl assisted Hydratech Industries A/S in strengthening its capital base, which is a natural extension of the 2016 turnaround where Hydratech partly restructured its Fluid (Oil & Gas) division, partly strengthened its profitable and growing operations in the Wind Power and Service divisions.
“We are in the process of efficiently addressing the challenges in the Fluid division, however, without losing our core competencies or market shares. At the same time, the commitment to our Power and Service divisions creates results and growth opportunities. The strengthening of Hydratech’s capital base and liquidity provides a good framework for continuing our efforts”, says CEO & President Søren Kringelholt Nielsen.
Hydratech’s management has also been strengthened. Rasmus Sandorff Jacobsen has just joined the company as Group CFO and is now part of the executive board together with Søren Kringelholt Nielsen, and, in October 2016, the experienced John S. Dueholm was elected Chairman of the Board of Directors.
In connection with the strengthened capital base, Hydratech’s ownership group has been changed in that the principal shareholder, the investment company BWB Partners, acquired 30% of the shares, whereby BWB Partners obtained an ownership share of 70%, after a new incentive programme for the management, etc. had been implemented. The remaining shares are owned by the Danish investment company AVN Gruppen A/S and by executive officers in Hydratech.
”Ahead of us is a prosperous future for Hydratech. The Group is on the right track, and we are, therefore, pleased to strengthen the capital base and create a 100% dedicated ownership group, just as we regularly contributed to the turnaround of Hydratech”, says Esben Bay Jørgensen, Partner in BWB Partners.
