Johnny Alvarsson

"Rooted in industrial heritage, Indutrade always prioritized successful entrepreneurs that are great operators, the best at what they do. But as the portfolio shifted towards proprietary products, Annvik judged that there were even more possibilities to expand organically. He shifted to acquiring companies in industries with sustainable and structural growth tailwinds. He also pushed deal responsibilities for acquisitions out from headquarters. This increased the pool of people capable of making capital allocation decisions, and with that came a greater number of opportunities. So far, under Bo Annvik’s leadership, the company has grown sales from SEK 13.5bn ($1.35bn) to SEK 32.8bn ($3.28bn). During the same period, EBITA grew from SEK 1.5bn ($15m) to SEK 4.75bn ($475m). The share price has appreciated 300%, beating the overall Stockholm index by a factor of four which increased by 67% over the same period. Buy great companies that generate money—and repeat Indutrade’s business philosophy for creating long-term shareholder value is simple. In the words of former CEO Johnny Alvarsson:"

"Johnny Alvarsson favored growth through acquisitions of manufacturing (assembly) companies with proprietary products. It was something he had succeeded at in his previous roles. Alvarsson possessed a deep understanding of these companies, and had a great sense for technical details, impressing a number of entrepreneurs looking to sell their companies."

"We began this chapter with Johnny Alvarsson saying that the products Indutrade sold “should not be bigger than horses.” Selling small and mission-critical products has always been its winning formula, and has created profound value for Indutrade’s shareholders."