Hexatronic acquires Qubix S.p.A., a leading structured cabling company in Italy

Hexatronic Group AB (publ)

556168-6360

Press Release November 2, 2020

Hexatronic acquires Qubix S.p.A., a leading structured cabling company in Italy

Hexatronic Group AB (publ) (“Hexatronic”) has today, November 2, 2020, entered into an agreement and completed the acquisition of [90] percent of the shares in Qubix S.p.A. (“Qubix”), an Italian-based supplier of structured cabling for the telecommunication infrastructure in buildings and on campuses. The purchase price for the acquisition amounts to approximately 14.4 MEUR.

Qubix

Qubix is a leading supplier of structured cabling in Italy. Qubix was established in Italy in 2001 as a spin-off of a cable manufacturer. Most of the company’s total sales is currently in the Italian market. Qubix’s solutions are primarily used in local networks for internet access in office buildings, residential buildings and on university campuses. The structured cabling market in Italy has been growing with a few percent year over year over the last five years and is expected to continue to grow at the same rate going forward.

The seller is euromicron Holding GmbH that holds 90 percent of Qubix. The founder and General Manager of Qubix will continue his current position and remain as a minority shareholder of 10 percent of the shares of Qubix.

Purchase price and financing

Qubix has generated an EBITDA of 3.8 MEUR in the last twelve months. The acquisition is expected to be accretive to earnings, adding 0.70 SEK per Hexatronic share in the first full year after close.

The purchase price of 14.4 MEUR for 90 percent of the shares will be paid in cash. The purchase sum equates to a valuation multiple of 4.2 times based on EBITDA for the last twelve months.     

The acquisition is being financed by a senior bank loan from Danske Bank. Net debt/EBITDA for Hexatronic Group following the transaction is expected to be approximately 2.2x.

The acquisition took place through a transfer of shares. Qubix will be consolidated into Hexatronic Group from today, November 2, 2020.

Comments from the CEO

“I look forward to welcoming Qubix and their team to Hexatronic Group. Qubix is the market leader in Italy within structured cabling and complements our offering within indoor telecommunication solutions.”  says Henrik Larsson Lyon, CEO of Hexatronic Group.

“Hexatronic as an international company focused on passive fiber optic telecommunication infrastructure strengthens our position on the market in Italy where we with the acquisition has access to in-house production of fiber optic cables, ducts and connectivity solutions” says Filippo Gnocco, General Manager of Qubix.

Advisor

White & Case LLP has acted as legal counsel to Hexatronic for its acquisition of Qubix.

Gothenburg, November 2, 2020

Henrik Larsson Lyon

CEO Hexatronic Group

For more information, please contact:

• Henrik Larsson Lyon, CEO Hexatronic Group, +46 706 50 34 00

This is information that Hexatronic Group AB is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person set out above, at 16:00 CET on November 2 2020.

Hexatronic Group AB (publ) is a group that develops, markets and delivers products, components and system solutions with the main focus on the fiber optic market. Hexatronic offers a wide range of innovative system and product solutions mainly for passive fiber optic infrastructure with global trademarks like Matrix, Viper, Stingray, Raptor, InOne, Drytech™, Lightmate®, Skyline and Wistom®. The Group has its headquarters in Gothenburg, Sweden and has sales offices and/or subsidiaries in Sweden, Norway, Finland, United Kingdom, Germany, China, New Zealand and the US. The Group is listed on Nasdaq Stockholm under the ticker HTRO. For more information, visit .

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