Sweden's Kinnevik to add two to four companies a year to portfolio
19/09/2019 11:59
STOCKHOLM, Sept 19 (Reuters) - Swedish investment company
Kinnevik KINVb.ST expects to add two to four companies a year
to its portfolio but maintain the total number of firms at
around 30, its boss said on Thursday.
Kinnevik is pursuing a strategy of increasing its exposure
to private Nordic companies as well as digital businesses such
as Swedish telecoms company Tele2 TEL2b.ST and online fashion
retailer Zalando ZALG.DE .
Chief Executive Georgi Ganev told investors and journalists
that the firm would aim for 15-25% stakes, and stressed it
continued to be interested in the telecoms and media,
e-commerce, financial services and healthcare sectors.
"We will add two to four companies per year between 2020 and
2023, spread across our focus sectors," Ganev told a capital
markets day in Stockholm.
"With our ambition to maintain a portfolio of around 30
companies ... That means we are aiming to exit about as many
companies as we add."
He said that two-thirds of the capital accrued from
divestitures would go on new investments. He did not say what
businesses he might exit.
Kinnevik said earlier this week that it would hand out its
37.2% stake in telecoms operator Millicom TIGOsdb.ST , a cable
and mobile operator in Latin America and Africa, to
shareholders. urn:newsml:reuters.com:*:nL5N26837I
Ganev said that Swedish telecoms group Tele2 and
Germany-based Zalando were still important to the portfolio, and
that Tele2's merger with Com Hem COMH.ST had exceeded
expectations in strengthening the company.
"For us Tele2 is a perfect fit in our portfolio, he said,
adding that Zalando was the jewel in the growth portfolio, with
"immense" market opportunities.
Founded in 1936 by the Stenbeck, Klingspor and von Horn
families, Kinnevik owns a 32% in Zalando and a 40% stake in
Global Fashion Group GFG.DE , another online fashion player.
It also holds stakes in tech startups like payments group
Qliro and online classified platform Quikr.
(Reporting by Helena Soderpalm; Editing by Pravin Char)
((helena.soderpalm@thomsonreuters.com; +46 8 700 10 15; Reuters
Messaging: helena.soderpalm.reuters.com@reuters.net))