Interstil Gets Majority Stake in Hjellegjerde

August 9, 2010  by in UnCategorized   

By Home Furnishings Business in Acquisition on August 10, 2010

A majority of Norwegian furniture maker Hjellegjerde's shareholders have okayed a deal to make Danish furniture vendor Interstil Hjellegjerde's main shareholder.

The combination of Interstil and Hjellegjerde will constitute one of Norway's largest furniture companies, with annual global sales of around 1.25 billion NOK. 
 
"This is obviously a very important day for Hjellegjerde," said Olav Inge Royset, CEO of Hjellegjerde. "The most important short-term course is  that Hjellegjerde has added the necessary new equity and has a good industrial owner, but in the longer term, its now been created  a new type of player in the Norwegian furniture landscape. For Hjellegjerde it means that we can now focus on future growth."
 
"Interstil has its strength in a wide range of furniture and interior products and a very well-developed logistic concept," said Roar Hoiland, owner and CEO of Interstil AS. "The combination of this and Hjellegjerde's products and manufacturing expertise will make us a leader in the furniture market."

Hoiland said the goal is to increase market share significantly both in Norway and abroad.
 
In the last week the management, board of directors and shareholders of Hjellegjerde have worked continuously to rescue the company, and the solution with Interstil gives the company a very good starting point for the future.

"It's been a very critical period for the company, but the result now means that the company has been saved," said Hjellegjerde Chairman Lars Buer. "Not least, the shareholders who have given their prior consent have been crucial for this success."