Lännen MCE Oy, manufacturer of smart multipurpose machines, is now part of Summa Defence
Summa Defence Ltd
Press Release, for immediate release at 18.11.2024 at 07:56 EET
Lännen MCE Oy, manufacturer of smart multipurpose machines, is now part of Summa Defence
The Finnish defense and security technology group Summa Defence Ltd and the supplier of intelligent and mobile multipurpose machines, Lännen MCE Oy, have agreed on a transaction in which Summa Defence Ltd will acquire all shares of Lännen MCE Oy's subsidiaries through a share exchange. As part of this transaction, Lännen Tractors Oy, Aquamec Oy, and Sweden-based Lännen MCE AB will transfer to the ownership of Summa Defence. Lännen MCE Oy acted as the seller.
"The multipurpose and intelligent machine and equipment solutions of the Lännen MCE Group provide a strong foundation for Summa Defence's mobility and comprehensive security product portfolio for both defense and civilian applications. Going forward, we will be able to offer outstanding solutions for demanding defense operations and their support functions. Lännen MCE also enables Summa Defence to expand the manufacturing of various mobile equipment, as the transactions brings significant production capabilities and expertise to the group," says Jussi Holopainen, CEO of Summa Defence Ltd.
"This ownership arrangement opens up significant growth opportunities for us and supports our strategic goals. With Summa Defence's expertise and resources, we can strengthen our market position and even better meet our customers' needs. We look forward to the new opportunities that this cooperation brings and the next phase of business growth," says Veli Ollila, CEO, Lännen MCE Oy.
“With the arrangement, we will become a significant minority shareholder in Summa Defense Ltd. Together with other active owners, we continue to develop the Lännen, Lundberg and Watermaster businesses as part of the Summa Defence group. The operational management of the Lännen MCE companies transferring to Summa Defence will not change in connection with the ownership arrangement, thus we will continue with Veli Ollila at the head of this entity," says Timo Huttunen, Chairman of the Board, Lännen MCE Oy.
Multipurpose machinery and equipment solutions for demanding conditions
Lännen and Lundberg machine and equipment solutions are designed for the demanding conditions of the Nordic region, offering high mobility, terrain capabilities, and multi-functionality. This enables effective operations in various infrastructure construction and maintenance projects that are critical for the society. In addition, the machines can be deployed in defensive operations, such as mine clearance (de-mining), obstacle planes and fortification operations. Additionally, they are ideally suited e.g. for fire and rescue authorities in excavation and clearing tasks, such as clearing collapsed buildings. The solutions designed and manufactured by Lännen are effective work tools for the defense forces, as well as for the public and private sectors, operating in demanding conditions.
Aquamec’s Watermaster supports critical infrastructure maintenance
Aquamec’s Watermaster multipurpose machines ensure safe operation in shallow waterways, anchorage and mooring sites, and ports, enhancing the maintenance of aquatic areas. They can also be used for shoreline restoration, the construction of new anchorage and mooring sites, underwater piling, and sediment removal, comprehensively supporting the development and maintenance of water infrastructure.
For the fiscal year ending June 2023, Lännen MCE Oy recorded approximately EUR 50 million in revenue and employed around 150 people. The acquisition has no impact on personnel. The parties to the transaction have agreed not to disclose the purchase price. The seller, Lännen MCE Oy, will become a significant minority shareholder in Summa Defence Ltd through this arrangement.
"Summa Defence is an alliance of entrepreneurs uniting defense and security industry companies to build a strong, publicly listed growth company. Entrepreneurship, Finnish identity, sound ownership, and robust growth are key values for us. Our acquisition strategy focuses on companies with proven technologies applicable to both defense and civilian markets and with ambitions for international expansion, particularly within NATO countries. AktiiviOmistajat, the main owners of Summa Defence, are investing approximately 20 million euros into the group to ensure the sustained strong growth of its subsidiaries. The shared goal of Summa Defence and AktiiviOmistajat is to expand the subsidiaries’ business," says Markku Kankaala, Chairman of the Board of Summa Defence Ltd and AktiiviOmistajat.
Summa Defence is currently finalizing acquisition negotiations with several companies in the security and defense technology sector.
For more information:
Jussi Holopainen, CEO
Summa Defence Ltd
Phone: +358 44 517 4543
Email: jussi.holopainen@summadefence.com
Veli Ollila, CEO
Lännen MCE Oy
Phone: +358 50 305 5075
Email: veli.ollila@lannen.com
Summa Defence in brief
Summa Defence is a Finnish defense and security technology group that supports the growth of the industry and strengthens industrial production capacity amid geopolitical shifts. We focus on dual-use technologies related to security of supply, situational awareness, mobility, and protection, which benefit the civil, security, and defense sectors and enhance overall security, supply resilience, and crisis management capabilities.
www.summadefence.fi