The Enterprise Investment Fund has purchased the holding company Vestia from Landsbanki Íslands. The Vestia acquisition includes the following seven companies, which employ some 6,000 people:
- Icelandic, previously called SH, a global fisheries company with 30 subsidiaries and operations in 14 countries.
- Teymi, a holding company in the field of electronic communications and information technology; owner of Vodafone, Skyrr, EJS, and HugurAX.
- Húsasmidjan, a retail chain selling building supplies, plants and flowers, and gardening supplies, with 16 stores around Iceland.
- Plastprent, a leader in the production of plastic packaging and plastic film.
By agreement, the Enterprise Investment Fund will pay Landsbanki ISK 19.5 billion for Vestia. Landsbanki will also purchase a 30% stake in the Fund. FSÍ share capital is expected to double, from ISK 30 billion to ISK 60 billion. The agreement is subject to the results of due diligence procedures and the approval of the Competition Authority.
The executives concerned consider this purchase an important step towards the realisation of the joint goal of the bank and the Fund, which is to revitalise the economy.
For Landsbanki, this is an important step in terms of competition, as the bank’s ownership of large companies was a temporary emergency measure owing to the difficult economic situation in Iceland.