Sievi Capital Plc is a listed (Nasdaq Helsinki) investment company that invests in small and medium-sized businesses in the Nordic countries. Investments are made in companies that are profitable and have growth potential. Sievi Capital creates value through active ownership in the target companies.
The objectives of Sievi Capital’s investment activities are to
Create shareholder value in target companies through active ownership
Provide in the long-term above-market return on company’s assets
Secure stable and growing dividend yield to shareholders
Sievi Capital makes private equity investments in small and medium-sized companies. The company makes investments regardless of sectors, however with small emphasis on industrial operations in which the company has great knowledge due to its history. Investments are made in profitable companies that have major growth opportunities either through expansion of operations, internationalisation or acquisitions. Sievi Capital targets to have significant ownership share in its portfolio companies.
Sievi Capital is a long-term owner, whose aim is through active ownership to create value in its portfolio companies. The company’s and its employees’ versatile company management and business development knowledge and large networks are utilised at portfolio companies best interest. In addition to Board level work, Sievi Capital co-operates with all relevant parties in portfolio companies’ business development. Sievi Capital’s strength compared to many other private equity investors is also its structure as an investment company that makes investments directly from balance sheet. This enables investment holding periods that are optimal from value creation point of view and flexible when circumstances at portfolio companies change.
Scanfil was established in 1976 by Jorma J. Takanen. Scanfil has been a supplier of mechanical products for the electronics industry since its foundation, but the production of electronics was also started early on in connection with the first acquisitions in 1980. Since then, Scanfil has been a contract manufacturer of both electronic and mechanical equipment. The most rapid growth occurred in the 1990s, when the company’s turnover increased from €5 million to €220 million in the course of ten years. By the end of the decade, Scanfil had secured its position as a systems supplier for the telecommunications and industrial electronics industries and had major international companies as its customers.
At the start of the 21st century, Scanfil began to quickly expand its business globally. The first foreign subsidiary was founded in Hungary in 2001, and the following year, the company acquired plants in China and Estonia through its merger with Wecan Electronics Oyj. The structural arrangements during the years 2008-2011 led finally to demerger and listing of two separate companies at the beginning of year 2012. Sievi Capital plc is an investment company and Scanfil Plc operates in contract manufacturing.
After the demerger Sievi Capital Plc gradually pulled out from passive financial investments and shifted focus fully to private equity investments.