CMS Distribution acquires majority stake in Newgen
Trade-only Mayo-headquartered firm ups its stake in Swedish company to over 50%
Frank Salmon: “We are delighted to increase our involvement with the Scandinavian markets”
CMS, a Co Mayo-based technology products distribution and manufacturing business owned by Frank Salmon, has acquired a majority stake in Swedish firm Newgen. No financial details of the deal were disclosed.
CMS Distribution acquired a minority stake in the company as part of its acquisition of fellow distributor Widget earlier this year. The trade-only Kiltimagh-headquartered firm said it had upped its stake in Newgen to over 50 per cent.
Newgen supplies key retailers in Scandinavia with a range of products. Company sales in 2016 are expected to exceed €13.3 million, up 100 per cent on the previous year.
The company will continue to be managed separately from CMS Distribution, the group said.
“We are delighted to increase our involvement with the Scandinavian markets. CMS wants to become a significant player in continental Europe, opening up more opportunities for our suppliers and offering the benefits of scale to our customers,” said Mr Salmon.
Established in 1988, CMS Distribution is a specialist distributor supplying business and consumer technologies. The company employs over 270 across seven locations in Ireland, the UK, the Netherlands and Sweden, and is forecasting revenues in excess of £300 million(€355m) for 2016.