Hydroline sells factory property in Finland to support growth funding

Hydroline sells factory property in Finland to support growth funding

Hydroline has sold and leased back its facilities located in Vuorela, Siilinjärvi. The buyer is a Special Investment Fund eQ Finnish Real Estate. A 5000m2 expansion part that was completed in 2009 and has been owned since by Siilinjärvi municipality’s real estate company Proseta Oy, is also part of the deal. Also the new expansion part which will be completed by the end of November will transfer to eQ’s ownership as well.
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The real estate transaction with eQ is a part of the massive investment program. Hydroline’s CEO Mikko Laakkonen tells that the arrangement is a big step towards the execution of a massive leap towards growth.

“With this transaction we will be able to significantly speed up our growth plan that was started last year with an ownership arrangement. The funds that were previously tied to our real estate will now be directed to for example machine investments, automation and possibly to acquisitions. The real estate transaction with eQ gives us an extremely good possibility to continue our growth plan according to our schedule”, Laakkonen comments.

At the moment, the markets are extremely positive and Laakkonen forecasts Hydroline’s sales to reach 55 million euros in 2018.

”As a long-term investor, this sale-and-leaseback arrangement to support Hydroline’s growth ideally suits to be a part of our investment portfolio of our fund.”, says the Investment Director Samuel Granvik from eQ.

Mayor of Siilinjärvi municipality, Vesa Lötjönen, also sees the transaction as a positive thing. “In 2014, Siilinjärvi was chosen as the most entrepreneur-friendly municipality in our province and the cooperation with Hydroline also supports our business policy. This transaction is a continuum for this policy as it supports Hydroline’s growth and development possibilities”, Lötjönen comments. 

 

For further information:
Mikko Laakkonen, CEO, Hydroline Oy
puh. 040 505 1625
mikko.laakkonen@hydroline.fi

Samuel Granvik, Investment Director, eQ Varainhoito Oy
puh. 050 360 6553
samuel.granvik@eq.fi

Vesa Lötjönen, Mayor, Siilinjärvi municipality
puh. 044 740 1101
vesa.lotjonen@siilinjarvi.fi


Hydroline Oy

Hydroline designs and manufactures durable, heavy-duty hydraulic cylinders and offers life cycle services to them. The company was founded in 1962 in Kuopio, Finland and today it is a market leader in the Finnish industry employing around 290 people. Hydroline’s customers are large machine and device manufacturers which are served from two production plants located in Siilinjärvi (Finland) and Stargard (Poland). In 2017, the turnover of Hydroline was around 42,6€ million.

eQ Liikekiinteistöt

Special Investment Fund eQ Finnish Real Estate is Asset Management’s actively managed real estate fund that invests long-term to business, office, hotel and production real estates in Finland. The revenues of the fund essentially consist of the rental incomes from real estates. The fund is open for subscriptions four times a year and for redemptions twice a year.

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