Navico, the global leader in recreational marine electronics, has signed a letter of intent (LOI) to transfer ownership of its manufacturing facility in Egersund, Norway to the Haaland Group, a respected Norwegian manufacturer of precision metal products. The deal is likely to include a long-term lease of the bulk of the premises, existing inventory and machinery and secure employment of Navico Egersund’s manufacturing workforce in the Haaland organization.
Subject to final agreement of the terms of the conditions, Haaland will take over 80% of the premises and the manufacturing infrastructure on the 31st December 2008 and will be co-located with Navico’s remaining Egersund employees. Haaland would also undertake contract manufacturing for Navico of the company’s highly awarded autopilot range and selected other products requiring specialist competence found in Egersund.
Jérôme Panoff, Director Business development for Navico Holding, sees the strong alignment between the parties speaking in favor of the deal, "the Haaland Group wants to expand into the electronics assembly market, while Navico had excess capacity in its Egersund plant and wanted to simplify its manufacturing footprint. Navico will transfer the plant and start a new strategic partnership with Haaland Group: as such Navico will continue to have some selected quality products manufactured in Egersund, in line with the legacy of robustness and reliability we are known for."
Ragnar Sandve, Managing director of Haaland Group is positive about the purchase of Navico’s Egersund facility, "we have been working with Navico for several years, as suppliers of parts and components to each other. With this deal, Haaland will be able to rapidly ramp up with a high performance plant, with access to valuable inhouse competence and close ties to the local community. We are committed to take over the whole operations and all the staff, thereby securing their employment in Egersund."
Both Navico and Haaland have a long connection to southern Rogaland with the local heritage for the companies dating back to 1946 and 1930s respectively. Navico employs approximately 114 employees in Egersund and Haaland will grows its employee base from the current level of 100. The LOI has been signed between Navico Holding AS and Haaland Group AS.
About Navico
Navico is the parent company to five leading marine electronics brands: B&G, Eagle, Lowrance, Northstar and Simrad. Navico has approximately 2,500 employees globally, 2007 turnover of approximately USD 332 million and is headquartered in Oslo, Norway. The company has development and manufacturing facilities in the USA, Mexico, the UK, Norway and New Zealand.
www.navico.com
About the Haaland Group
Haaland has over many years specialized in production of sheet metal products for maritime and electronics industry. Within this segment Haaland has become Norway’s most dominant manufacturer. Industrigravøren became a member of the group in 2007. They are specializing in milling plastics and aluminum in addition to engraving by milling and laser.
www.haaland-as.no
Press enquiries:
Renée Mead
Director – Corporate Communications
Navico Holding AS
Phone: +47 4641 1705
Email: renee.mead@navico.com
Ragnar Sandve
Adm. Dir / Managing Director
Haaland Group
Dir.phone:(+47) 51 79 17 51
Mobile:(+47) 92 69 98 75
E-mail: ragnar@haaland-as.no