Fasadgruppen has an active M&A strategy aimed at expanding its geographical presence and strengthening its offering. Through its decentralised business model, entrepreneurs are provided with new opportunities to develop both their businesses and leadership skills, while benefiting from the combined capabilities of Fasadgruppen.
Since its establishment in 2016, more than 60 businesses have been acquired. Potential acquisitions are identified primarily through internal networks and referrals from existing subsidiaries, which generate a continuous flow of candidates. Fasadgruppen has established a number of acquisition criteria with requirements such as good profitability, geographic locations and long-term management. When a new acquisition has been completed, an established model is used to ensure a smooth integration where the subsidiary quickly benefits from Fasadgruppen’s economies of scale and can begin to contribute to the value creation in the Group.
Fasadgruppen's Integration and Synergy Model
Subsidiaries report their financial performance each month, and these reports are then consolidated centrally. The aim is to achieve internal comparability and assure complete control over the Group’s financial performance and ensure our organisation is managed in the best way. Through a score card system, the subsidiary can see how they perform in comparison with other subsidiaries and Fasadgruppen’s financial targets, in order to strengthen local entrepreneurship and the internal competitive spirit.
Percentage of completion method
All subsidiaries shall apply the percentage of completion method, which is an accounting method used for long-term projects and aims to ensure that the Company reports income for an amount that corresponds to the proportion of the total projects completed.
Cash Flow Management
All new subsidiaries receive support in ensuring efficient cash flow management in line with Fasadgruppen’s overall goal for cash conversion.
Purchasing Agreements and IT
Immediately after acquisition, all new subsidiaries receive part of the Group's central purchasing agreements with favourable commercial terms. Furthermore, they are integrated into a common IT security environment and have access to best practice regarding IT tools and well-established security routines and continuity plans.
At the time of acquisition, Fasadgruppen's Code of Conduct and whistle-blower system are established, as well as policies relating to, among other things, occupational health and safety. Furthermore, all new subsidiaries are certified in accordance with ISO 9001 and ISO 14001, which means that they meet the requirements for good control of quality and the environmental impact of their operations.
Cooperation and Succession
The subsidiaries are introduced to their business area, where collaboration between business area managers and subsidiaries takes place continuously. Within the business area, ongoing projects and acquisitions, cross-selling opportunities and sharing of resources and best practice are dealt with, among other things. Business area managers and subsidiary CEOs also ensure that there are succession plans in each company.