Strax is one of the leading specialists for mobile device accessories, providing value added distribution solutions, with sales in more than 20 countries. In Sweden, the Strax brand xqisitTM can be found in the stores of Telia, The Phone House, and the operator 3. Strax has its headquarters in Germany and is expected to reach sales of approximately MSEK 500 for 2010.
Strax has gone through a significant restructuring during the past few years, resulting in improved margins and profitability. The positive development has made a refinancing possible, not only improving the liquidity situation in the company, but also providing a significant strengthening of the balance sheet.
To enable the refinancing, Novestra has guaranteed MEUR 1 out of the total financing of MEUR 10, and as a result thereof, Novestra has an opportunity to increase its ownership to 32 percent at an attractive valuation.
”The turnaround in Strax has been a long journey with great complexity. Regardless, Strax has had a strong development during the past twelve months, and has i.e. successfully launched several product lines under own brand names. The company has reported growth in sales of approximately 10 percent this year, and has continued to improve its gross margins, bringing those close to its long term goal well ahead of its plans.
The company has a durable and interesting business model, with both good growth and profitability prospects. The decreased leverage and the increased ownership opportunity for Novestra have a positive value effect with further value potential for the future” says Johan Heijbel, Novestra’s Managing Director and board member of Strax.
For further information, please contact Johan Heijbel, Managing Director AB Novestra, +46 (0)8 545 017 50.
The information provided in this press release is such that AB Novestra is obliged to make public according to the Securities Market Act [sv. lagen om värdepappersmarknaden]. The information has been released to the media for publication on October 8, 2010 at 9.00 am (CET).
About AB Novestra
Novestra is an independent investment company with a portfolio of investments in a number of privately held growth companies including Diino AB, Explorica, Inc., MyPublisher, Inc., Netsurvey AB, Qbranch AB and Strax Group GmbH. In addition, Novestra has an investment corresponding to approximately 11 percent of the shares in WeSC AB, listed on First North.
The Novestra shares are listed on the Nasdaq OMX Stockholm, under the symbol NOVE, in the Small Cap section. For further information regarding AB Novestra, reference is made to www.novestra.com
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