Tempt Key People, Extract Companies

“This method has been used by Kjell Inge Røkke repeatedly, and it rests on a simple observation: In most companies, the director does the job, while the owner walks away with the profit. The cheapest way to take over a business is to tempt key personnel with a few million kroner. In such contexts, it's petty cash.”

“The lightning attack on Intersport in the fall of 1993 is a classic Røkke operation. With a store sale of over 650 million kroner, Intersport was the major competitor to Røkke's sports chain, Gresvig. At the same time, many of Intersport's stores were faltering, and the chain was struggling financially. The chain was, in short, a tempting target, and Gresvig sat like a vulture waiting for the right moment to strike. In this situation, Kjell Inge Røkke makes two ruthless moves; he contacts Intersport’s CEO, Erik Myhren, and offers him an enticing financial proposal. At the same time, he tempts Intersport’s most important member, sports store owner Tommy Bøhmer, to switch over to Gresvig with his seven very profitable stores in Oslo. Intersport's board is completely unaware of the brutal attack. It happens quickly, decisively, and in complete secrecy. The next thing that happens is that Tommy Bøhmer accepts the offer. Then, Intersport director Erik Myhrer sends a letter to all the stores in the Intersport chain advising them to switch over to Gresvig. The director's game behind the backs of his own owners explodes like a bomb in Intersport's board. Røkke has managed to create unrest in the ranks, and now he is making his next move: He offers all store owners 100,000 kroner in transfer sums. At the same time, he promises to lift them out of a significant debt of 57 million kroner that everyone is responsible for at the chain's headquarters. Touché!”