Business concept and Goal

Business concept

Sdiptech-s business concept is to offer deeply niched products and services with a focus on urban infrastructure. The markets in which we choose to operate are mature and driven by sustained underlying growth trends. Sdiptech has a clear two-part growth strategy that entails acquiring niche companies with well-documented profitability, and maintaining an operational steering model of acquired companies based on decentralization and non-invasive synergies.

Goal

Sdiptechs overall goal is to create sustainable, long-term growth in value and to within five years become a leading European group operating in urban infrastructure.

Sdiptech’s overall financial growth goal (organic and acquisitions) is to reach an operating profit of SEK 600-800 million before the end of 2021.

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Growth strategy

Growth from acquisitions

We have a daily focus on acquiring additional niched and well-managed businesses. With our in-house team and a methodology developed through the years, we continuously screen our target markets for candidates and focus on developing relationships with owners of deeply niched companies that meet our acquisition criteria.

Sdiptech’s financial target for growth through acquisitions: Deliver average annual growth through acquisitions in line with 2016 on an average annual basis until 2021.

Organic growth

Our market focus on urban infrastructures provides a solid underlying market growth for our operations. Our niches are selected for their above-average margins and inherent capabilities to grow. Through non-invasive synergies between our companies, additional revenue streams can be added while maintaining the core business of each individual company.

Sdiptech’s financial goal regarding organic growth: Maintain an average organic growth of 5-10% until 2021.

Business criteria for a Sdiptech company

  • Deep niche, products or services for urban infrastructures
  • Entrepreneur-led
  • Stable cash flow with documented profitability and above-average margins
  • Customer base without critical dependencies on few customers or suppliers
  • Non-cyclical market or business characteristics

Contact us

If your company matches our criteria and your are considering ownership changes, do not hesitate to contact us. Click here for details

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