PARTNERTECH KARLSKOGA AKTIEBOLAG acquired by FJORD DEFENCE GROUP

Fjord Defence Group ASA has entered into a definitive agreement to acquire 100% of the share capital of PartnerTech Karlskoga Aktiebolag, a specialized industrial player in precision metal components for the defense industry. This transaction is part of a broader strategy to build an integrated European defense platform, combining critical component manufacturing and expanding the acquirer's industrial value chain. The deal structure involves a mixed payment mechanism, comprising a cash component and a stock component, supplemented by a performance-based incentive scheme for certain key executives of the target company. This approach aligns the interests of the seller, management, and acquirer, while ensuring operational continuity and stability of the existing teams. A lock-up mechanism also governs the holding of shares issued as part of the transaction, with gradual release over time. The strategic rationale is based on the complementary nature of the activities between the two entities. PartnerTech brings recognized expertise in high-precision metal components, particularly for weapon systems and large-caliber ammunition, while Fjord Defence Group has a portfolio covering a broader range of defense equipment, including weapon accessories, protection solutions, and light platforms. The integration of the two companies will enhance the industrial depth of the platform and increase its exposure to European defense programs.