The Group invests over 160 MSEK in product development in 2018 to ensure sustained high and profitable growth. This involves targeted initiatives on network solutions for the rail infrastructure and power distribution segments in the Westermo business entity. The Beijer Electronics business entity will be launching its new Fast Track to the Cloud solution with BoX2 in 2019, consisting of soft- and hardware, and is an IIoT application offering easy connection to existing automation equipment.
These new initiatives are investments to ensure sustained high and profitable growth, and this offensive strategy also brings an opportunity of upgrading the Group’s growth and EBIT margin targets.
Parent company changes corporate name from Beijer Electronics AB (publ) to Beijer Electronics Group AB (publ).
Initiates a restructuring program including an improved sales and marketing organization and rationalizations in manufacturing. The aim is to create a more customer-oriented and flexible organization with a clear focus on proprietary products. The long-term ambition is also to increase the proportion of software sales, focusing more on specific segments for robust terminals and concentrating resources on fewer markets and larger customers.
Divests the group’s subsidiaries in Estonia, Latvia and Lithuania to specified senior executives in the companies.
Signs a final agreement relating
to the divestment of the Finnish operations. The transaction was completed at year-end. In future, UTU will act as distributor in Finland for Beijer Electronics’ HMI products and other brands.
Wins a new major order from Toshiba International Corporation through its subsidiary Westermo in the IDC business area. The order relates to the delivery of
network equipment totaling 4.2 MUSD – approximately 37 MSEK. Toshiba delivers drive and control systems to Kawasaki, who then assembles the rail cars for WMATA.
Parts way with Mitsubishi Electric after just over 30 years of close collaboration, as
their respective strategies now differ significantly. This means that the existing distribution agreement is terminated at
year-end 2015. The distribution agreement where Mitsubishi Electric sells Beijer Electronics’ operator terminals under its
own brand is also terminated. The volume losses mean that Beijer Electronics is carrying out a review of its existing Nordic operations. In total, some 50 - 60 positions
are affected of which around 20 - 30 in Sweden.
Announces a program of measures in the IAS business area. Business area sales have not progressed as expected in recent years, which has had a negative impact on profitability. To restore profitability over a three-year period, IAS initiated a program to cut costs.
Announces a major strategic initiative in the IDC business area. The measures encompass some 188 MSEK over three-year period, of which 175 MSEK in Westermo, focusing on increased product development and strengthening the marketing organization. The initiative is largely internally funded. The aim is to increase growth further from the current 450 MSEK or so in annual sales to closer to 800 MSEK, and to achieve an operating margin of over 14% in 2017.
Signs a three year cooperation agreement with Mitsubishi Electric building upon a 30 year relationship. In connection with this, Beijer Electronics and Mitsubishi Electric agree to the repurchase of Mitsubishi Electric's 15% minority shareholding in Beijer Electronics' business area Automation.
Purchases a 15% minority share in the Brazilian automation company Altus Sistemas de Automação S.A., with whom a distributor partnership has been in place since 2004. With this purchase, Beijer Electronics gains:
- access to state of the art powerful control systems
- expertise in industrial sectors such as oil & gas and energy production
- a strong platform for the sale of Beijer Electronics' offering in South America
- opportunity to drive the development of new control products for the global market
Acquires the Turkish distributor Petek Teknoloji Ltd. The acquisition gives Beijer Electronics access to a growing market with on-going investments in the automotive, water and water treatment industries, segments where Beijer Electronics both possesses deep knowledge and offers a wide range of products and solutions
Opens offices in South Korea and Malaysia, and several regional offices in China, strengthening the position of the Asian markets.
In December, Beijer Electronics opens an office in Pune, India, further expanding its geographic coverage to drive organic growth and strengthen local support of customers around the world. The entry into India followed the establishment of a new subsidiary in Brazil in September 2011.
The new offices, situated in Pune, India, and São Paulo, Brazil, work closely together with Beijer Electronics’ existing local partners in the area, and handle the entire portfolio of Beijer Electronics' in-house developed products.
In October, QSI Corporation is acquired, a leading American producer of robust operator panels and mobile data terminals. The acquisition substantially expands sales and support channels together with a broader product range of operator terminals. QSI Corporation is included in the business area HMI Products. The acquisition is an important part of Beijer Electronics' growth strategy adding a significant presence in North America.
In December Beijer Electronics signs an agreement to acquire the Taiwanese technology and industrial data communications company Korenix Technology Co., Ltd. With the acquisition the cooperation between the subsidiaries is intensified and Korenix together with Westermo constitute Beijer Electronics’ business area IDC. The acquisition is an important part of Beijer Electronics’ growth plan in Asia and for business area Industrial Data Communications (IDC).
Westermo is part of the Beijer Electronics group and from January 1 forms a separate business area, Industrial Data Communications (IDC), within Beijer Electronics. With the incorporation of Westermo, new countries are also added to Beijer Electronics' operations: United Kingdom, France, Belgium, Austria, Switzerland and Singapore.
On January 1, Beijer Electronics takes over the agency for Mitsubishi Electric products in the Danish market. At the same time a new subsidiary and an office outside of Copenhagen is formed. The aim is to build an organization on the Danish market to sell Automation's entire product range, including the Group's proprietary operator terminals.
In March, Beijer Electronics signs an agreement to acquire the Danish automation company Brodersen Automation A / S. The acquisition gives Beijer Electronics a valuable customer base in Denmark and also a complementary product portfolio for the entire Nordic and Baltic markets.
In June business area HMI Products acquires the German HMI company Lauer. The acquisition is another milestone for Beijer Electronics. Lauer gives the group a very strategic position and strengthens HMI Products' presence in the key German market. Germany is Europe's largest single market for automation products.
In December, Beijer Electronics signs an agreement to acquire the Swedish company Westermo Industrial Telecom AB. Westermo is active in industrial data communication, which is a rapidly growing field in automation.
In early April, Beijer Electronics decided to incorporate a subsidiary in Shanghai, China. Through Hitech, the group already has a local distributor in China. The primary purpose of the Chinese subsidiary is to support the local distributor and service the market as part of the launch of Beijer Electronics' EXTER terminals in China.
In June, Beijer Electronics signed an agreement with Mitsubishi Electric to take over the distribution rights to its agencies in Denmark and the Baltic region, and those agencies Automation did not already possess in Finland. Coincident with this deal, Mitsubishi Electric acquired 15 per cent of the Automation business area. This deal gave the Automation business area new growth opportunities, while simultaneously conferring long-term stability and security to business, and our relations with Mitsubishi Electrics.
Building on the deal with Mitsubishi Electric, Automation acquired parts of UTU Powel of Finland’s automation segment operations in Finland and the Baltic countries. The deal was closed in October. The objective is to further enhance and increase regional market shares, and increase the sales of Beijer Electronics’ proprietary HMI products.
In March 2005 Beijer Electronics acquires the Taiwanese company Hitech Electronics - a renowned player in the sector, with sales focused mainly on Asia.
The acquisition brings Beijer Electronics a strategic network of sales channels for the group’s proprietary operator terminals on the high-growth Asian market. This means the group becoming a genuine global player in HMI products (Human Machine Interface).
In order to create clear responsibilities and an increased focus on each market, a new organization is introduced at the turn of a the year. Operations are divided into two business areas - HMI Products and Automation.
In June, Beijer Electronics acquires the agency company Autic System - one of the leading suppliers of SCADA systems in Sweden. The acquisition is strategically important and means that Beijer Electronics strengthens its product range within automation.
In October Beijer Electronics incorporates up a subsidiary in Stuttgart, Germany. The intention is to support and develop the group's operator systems sales channel on the German market through technical support and servicing, and by processing selected end-customers.
As a consequence of Stena Sessan acquiring 25 per cent of its shares in late December, Beijer Electronics gains a new main owner.
Beijer Electronics enters a new and exciting phase, the key feature being our listing on the Stockholm Stock Exchange in June, implying Beijer Electronics achieving the status of an independent quoted corporation. The company has operations in Sweden, Norway, Finland and the USA.