Job Solution Sweden announced yesterday it entered into a non-binding letter of intent with the owner of Norwegian executive search, consulting and recruitment firm Succedo to acquire 55% of the shares in the company.

The preliminary purchase price for 55% of the shares is estimated at NOK 9 million (€0.7 million). The company is set to be purchased on a debt-free basis where the cash goes to Job Solution. Furthermore, the parties have agreed in the letter of intent that 100% of the annual profit in the company shall accrue to Job Solution, even though Job Solution owns 55% of the company.

In addition, the parties have tentatively agreed on an option to acquire the remaining 45% over the next three years. Job Solution has a right to exercise the option annually and acquire 15% of the shares yearly. In addition, Job Solution is obliged to invoke the option if the company achieves certain financial goals. The seller must hand over the shares if Job Solution invokes the option.

Succedo has operated on the market for over ten years and has a strong position in Norway, particularly in Oslo and Stavanger. The company is estimated to contribute a turnover of approximately NOK 45 million (€3.8 million) and EBIT of approximately NOK 5 million (€0.4 million).

In a press release, Viktor Rönn, CEO of Job Solution, said, “Since last winter, we have had a great dialogue with the owner of Succedo and have reached a point where we agree that we will acquire the company.”

“It is an extremely prosperous company that has an enormously strong position in the Norwegian market when it comes to very executive roles in economics and finance,” Rönn said. “We see how this company has enormous potential to be able to gear up even more, and it will be extremely fun to be able to make that journey together. We have a consensus on how to drive this company forward, and there are lots of synergies with our Norwegian company that operates in the group today, so it is set up for success. This is also the first important step for our acquisition and growth work in the Norwegian market where we will become … stronger.”

“We start the due diligence process immediately and the parties will, in parallel with the review, finalise the terms of the share transfer agreement,” Rönn said. “The ambition is to complete the deal at the beginning of September and then take office on 1 October 2024.”