Nobia Is Considering Making Further Acquisitions with a View to Penetrating New Markets

Nobia AB is meanwhile considering making further acquisitions with a view to penetrating new markets. CEO Morten Falkenberg explained the background to these considerations at an analysists' conference held on 30 April 2013 to discuss business developments during the first quarter. Between 1996 and 2006 the group bought up numerous companies, including contemporary group brands Poggenpohl, Myresj?k?k, Invita, Norema, Gower, Magnet, Hygena and Ewe/FM. Ultimately approximately 20 companies were consolidated under the Nobia umbrella. Between 2007 and 2010 the group experienced a sharp decline in profitability, partly on account of the general economic situation, which led initially to an improvement in the cost structure and finally to extensive restructuring measures involving the closure of a number of production facilities. Following several years of consolidation, during which the number of sales outlets was reduced from around 700 to 620, Nobia now considers itself in a position to embark on further expansion measures, according to Falkenberg. On the one hand, these are to involve further expansion of the store network of existing sales channels. On the other hand, new distribution channels are to be developed, possibly through takeovers or other partnerships. Production is to take place in the existing factory locations, however.