Dania Capital acquires YORK Novenco

Published February 06, 2006

Dania Capital has signed an agreement to buy the YORK Novenco Group from YORK Denmark. With this acquisition Novenco gets a new owner who in cooperation with the management will focus on further development and growth.

The Novenco group develops and manufactures high-quality ventilation products and systems and fire fighting equipment that are sold to customers worldwide. In 2005 Novenco had a turnover of 660 million DKK and has for many years been among the leading suppliers in the world market within fire fighting, ventilation and air conditioning plants for the land and marine industry respectively. YORK Denmark is part of the global YORK Group, who was acquired by Johnson Controls in December 2005.

As new owner Dania Capital wishes to further develop Novenco in close cooperation with the current management. The management wishes to intensify focus on the organic growth and development of the product range within all segments. Additionally, it is intended to make acquisitions to improve Novenco's market position in present and new markets.

''It is an exciting task for Dania Capital to take the position as new owner of Novenco. We see great potential in the company's high-quality products and transfer of its technology between different industries,'' says Thomas Dywremose, man. director of Dania Capital, and continues: ''We will, in close cooperation with the company's management and employees, further develop the company into a global supplier of systems for air handling, transportation of air and smoke, and fire fighting within chosen segments.''

''The background for our decision is that YORK Novenco's strategic development potential and product range no longer converge with the future strategy of the overall YORK organization,'' says Henrik Hansen, man. director of YORK Denmark. ''We are very pleased to have found a buyer, who will actively support and contribute to the future positive development in the Novenco Group,'' he continues.

The final closing of the transaction is expected to take place later this month, upon approval by relevant authorities. It has been agreed that the company name is changed from YORK Novenco to Novenco at that time. There will be no changes in the company's management or in Novenco's strategy.

''We are very pleased that Dania Capital takes the position as new owner and brings new development and growth potential to our company. It is extremely favorable for both employees and the company'', says Novenco's man. director S\xF8ren Horn Petersen.

Today Novenco consists of the parent company in Denmark, a subsidiary in Norway and a subsidiary in Holland, and offices in Italy and China. Around 90% of the production is export. The company has approx. 550 employees.

In connection with the agreement YORK's advisers were Audon Partners and Cavendish Corporate Finance.

Deloitte Corporate Finance was Dania Capital's adviser.

For further information please contact:
Man. director Thomas Dywremose, Dania Capital, tel. +45 33 47 66 61, mobile +45 30 62 44 01.
Man. director S\xF8ren Horn Petersen, Novenco, tel. +45 70 12 42 22, mobile +45 29 69 15 55.
Dania Capital
Dania Capital is a Danish private equity company investing in Danish companies operating within or with relation to the building and construction industry. Dania Capital was founded in October 2003 with 600 million DKK in capital base. Besides the coming ownership of Novenco, Dania Capital owns Hammel M\xF8belfabrik A/S and Wiking Gulve A/S, who were acquired in January 2006.

It is Dania Capital's strategy to - via an active ownership and in close cooperation with the company's management and employees - contribute to a positive development of the company's market position and profitability.

It is Dania Capital's intention to sell the companies within a 4-8 year period, partly to secure optimum conditions for the companies' ongoing development and partly to generate a desirable return to the investors.

Novenco
Novenco develops and manufactures high-quality ventilation and fire fighting systems that are marketed and sold via a worldwide network of subsidiaries and agents. More than 90% of the production is export.

Novenco was founded in 1947 and is among the leading suppliers in the world market. Today the company has approx. 550 employees and the head office and factory are situated in Naestved, Denmark.