Strategic Value Partners, LLC (together with its affiliates, “SVP”), a leading global alternative investment firm managing approximately $19 billion in assets, and Bjelin Group have announced an agreement under which SVP-managed funds will provide a €200 million preferred equity investment to support Bjelin Group’s long-term growth ambitions.
Bjelin Group AB is fully owned by the Pervan family and its assets comprise a 51% ownership stake in Välinge Group, and a 100% ownership stake in Bjelin Industries. 49% of the shares of Välinge Group are owned by KIRKBI Invest A/S and Välinge Group management.
“Our partnership with SVP is more than a financial investment. Bjelin Industries has a key relationship with SVP’s portfolio company, Pfleiderer, a leading manufacturer of high-quality wood-based products including HDF which is used as a core in our Woodura flooring, laminates for kitchen, furniture, and construction applications. We are excited about the potential to expand the collaboration between Pfleiderer and Bjelin with a wide range of potential commercial and technical cooperation opportunities. Fredrik Alfredsson, who has a long international experience within the flooring business, will be appointed CEO of Bjelin Group.” said Darko Pervan, Chairman and founder of Bjelin Group.
Välinge Group has two business segments. A licensing business for flooring and furniture applications (Välinge Innovation AB), and an industrial business with large scale production of flooring with Woodura surface technology and furniture in Sweden and Croatia. Bjelin Industries is a veneer, flooring and furniture manufacturing business with production facilities in Croatia.
Bjelin Group AB is set to acquire all shares in Välinge’s industrial business, which will be integrated into Bjelin Industries. The transaction, subject to customary closing conditions and governmental approvals, is anticipated to close in the first quarter of 2025. To finance this acquisition and support further investments in Woodura flooring and veneer production, funds managed by Strategic Value Partners (SVP) will provide a €200 million preferred equity investment. These initiatives aim to establish a world-leading sustainable wood flooring company, with the Pervan family retaining a 97% ownership stake in Bjelin Group AB.
Välinge Innovation AB, which is a leading R&D, IP and licensing company, mainly related to flooring and furniture technology, anticipates that it will seek a public listing at the appropriate time as the potential high growth of Woodura flooring is expected to benefit Välinge’s license revenues.”
Brian Himot, Head of Structured Capital at SVP, said: “Over the past 30 years, Darko Pervan has built a leading IP licensing business and set the foundations to create a market leading industrial manufacturing business. We are delighted to be partnering with an entrepreneur of his standing at a key moment for the development of the manufacturing business. SVP has developed expertise in these types of partnership-oriented investments with founders and family offices. We look forward to working closely with the Pervan family to drive value for the business.”
Read more news on: Bjelin, flooring, laminates, kitchen industry, woodworking, wood-based products
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