Avallon Invests in Norlys – The International Producer and Distributor Representing the Outdoor Lighting Industry
From left: Marcin Stamirowski - Investment Director MBO, Leszek Kordek - Chairman of the Board Norlys , Agnieszka Pakulska - Partner Avallon MBO
Avallon MBO Private Equity Fund has bought a majority stake in the Norlys holding company as part of Avallon MBO Fund III. Thanks to the MBO (management buyout) transaction, Avallon acquired 75 percent of shares from the company's managers. Norlys is a company with Scandinavian roots with over sixty years of tradition in the production of premium outdoor lighting, adapted to difficult weather conditions. In 2020, the Norlys Group generated revenues of EUR 18 million.
The company was founded in 1953 in Norway, where the main branch dealing with the distribution of lamp fittings to the Scandinavian markets is located to this day. 28 years ago, a production plant was established in Nowy Sącz, with its own aluminum foundry, a press department for the production of steel frames, a hot-dip galvanizing department, a processing department, as well as a powder coating shop and assembly departments. The Norlys group also includes companies: French and Swedish, dealing in the distribution of lighting systems manufactured in Poland in these countries. Norlys luminaires also go to many other countries around the world - from Asia, through Africa to Australia.
- This is a new, but extremely interesting segment of the market for us; the one where interesting design and brand play an important role. Norlys has a strong position there thanks to a strong brand image in the premium segment, especially among the Scandinavian countries. The company has a modern production base and the potential to increase sales mainly in Western European countries. We are happy that Norlys' managers have seen in Avallon a partner which would help their company in its further expansion and development. Once again our many years of experience in working with managers has been appreciated, not only in the Polish market - comments Agnieszka Pakulska, partner at Avallon, responsible for the transaction.
Norlys produces simple lighting fixtures, following the spirit of Scandinavian design, in line with current trends, and with quality that meets the requirements of highest level necessary in difficult, snowy weather conditions. When it comes to lighting technologies, the company cooperates only with respected suppliers of the most modern LED solutions.
- The high quality of our products is the result of proper selection of materials and professional management of the production process, which is entirely run in Europe, and following the ISO standards. In the production plant with an area of over 18,000 m2, we make use of an innovative machine park, while our foundry is one of the most modern of its kind in Europe. We are proud to have our own research laboratory equipped with specialized, top-class equipment that is used for testing lighting fixtures. In short, we have a strong position in the industry, and owing to the cooperation with Avallon, we are likely to move our expansion into new markets - says Leszek Kordek, the CEO of Norlys
After the purchase of Norlys , the Avallon Fund's portfolios currently include seven companies. They are: Ceko and Wosana – representing the food industry, Stangl Technik – a company providing installation services, EDC Expert - a marketing company, Marketplanet – a purchasing platform, Novo Tech - a company dealing with polymer processing, and Clovin - a company producing cleaning products. At the same time, Avallon is actively looking for new investments. The Avallon MBO Fund III has by now raised EUR 137 million for this purpose.