Sweden’s AB Electrolux has sold Dometic Corp., a supplier of refrigerators and other appliances for use in RVs and hotel rooms, to EQT Northern Europe, a private equity firm.
“The new ownership will not change our current business relations, nor will it affect our management and personnel,” said John Waters, president of the Elkhart, Ind.-based Dometic.
Electrolux is generally believed to be the world’s largest producer of household appliances. Its brands include Frigidaire, Eureka, Husqvarna chainsaws and Weed Eater trimmers.
For years, Dometic operated independently from other Electrolux business units. “Dometic will no longer be a small company within a large organization fighting for resources,” according to a statement issued by Dometic today (June 13).
Electrolux President and CEO Michael Treschow described Dometic as “successful, with a strong market position, but it offers limited synergies with other (Professional Indoor Products) Group operations, since the majority of sales are to manufacturers of recreational vehicles.”
Dometic’s factories are located in several European countries, North America and South Africa. Its sales totaled $388.8 million last year.
EQT Northern Europe, a unit of EQT Partners AB, bought Dometic during an auction managed by Lehman Brothers. Electrolux earned a pre-tax capital gain of $296.2 million as a result of the sale.
EQT Partners AB, with offices in Stockholm, Copenhagen, Helsinki and Munich, buys medium-sized companies and serves “as an active owner in close cooperation with management of the acquired companies.”