Axel Johnson International’s Industrial Solutions business group acquires a majority stake in Arkov, one of Czech Republic’s leading distributors of mechanical power transmission- and hydraulics products. The acquisition is in line with Industrial Solutions’ strategy of acquiring distributors with a strong market position and expertise in mechanical power transmissions.
Arkov is a well-recognized industrial player on the Czech market, being one of the country’s largest authorized distributors of SKF and Schaeffler. Founded in 1992, Arkov has 80 employees and eight branch offices covering the central regions of the Czech Republic. With net sales close to EUR 7,8 million and most of its sales in the MRO segment, Arkov distributes several strong international and domestic brands.
“Arkov has a strong position on the local market that will strengthen Industrial Solutions’ offering and expand our geographical footprint,” says Ola Sjölin, Managing Director, Industrial Solutions. Sjölin adds that Arkov also works closely with SKF in service and maintenance, which will strengthen Industrial Solutions’ relationship to SKF. “This acquisition means that we will be authorized SKF distributors in four countries: Sweden, the UK, Poland and Czech Republic,” he says.”
Sjölin credits a big part of Arkov’ success to the leadership of the two directors Jiri Urban and Martin Tichy who will keep a minority stake in the company and continue in their positions. “I’m delighted to say that both Jiri and Martin, who know this market very well, are very keen on growing the business and want to stay with the company post-transaction,” Sjölin says.
Arkov serves a diversified customer base based upon long-standing relationships. “We are very much looking forward to taking part of the collective knowhow within the Axel Johnson International group,” says Jiri Urban, director of Arkov. “We think that working together will create great opportunities on the customer side as well as the supplier side, increasing our share on the Czech market.”
The acquisition was signed on December 4 and is expected to be completed in January 2019.
Hans Glemstedt, Head of Strategy and M&A, Axel Johnson International,
Tel:+46 (0)8 453 77 41
Ola Sjölin, Managing Director Industrial Solutions, Axel Johnson International,
Tel:+46 (0)8 453 77 25