#Sweden #Gothenburg #Volvo Construction #Swecon #Lantmännen

Volvo Construction Equipment Acquires Swecon

In a significant development in the construction industry, Volvo Construction Equipment (Volvo CE) has reached an agreement with Lantmännen to take over Swecon's business operations across Sweden, Germany, and the Baltics, including Entrack. This acquisition, valued at 7 billion SEK, is currently pending regulatory approval and is expected to close in the latter half of 2025.

The terms of the acquisition encompass all of Swecon's operations in these regions, which include product sales, rental services, and essential aftermarket support for customers. Additionally, Volvo CE will gain access to Swecon's infrastructure, which comprises various offices, workshop facilities, and a dedicated workforce of approximately 1,400 employees.

This strategic acquisition is seen as a pivotal move for Volvo CE, aiming to strengthen its foothold in crucial markets, particularly in Germany—the largest construction equipment market in Europe—and its home market of Sweden, alongside Estonia, Latvia, and Lithuania. Post-acquisition, Volvo CE will not only expand its retail operations but will also manage the majority of its business throughout Europe, thereby solidifying its retail presence in this essential sector.

Melker Jernberg, Head of Volvo CE, emphasized the significance of this acquisition amidst the ongoing transformation in the construction industry. He stated, "At this time of transformation of our industry, where our competitiveness is put to the test, directly collaborating with our customers is more important than ever. Through the acquisition of Swecon, we believe we can enhance customer satisfaction significantly."

Lantmännen, the current owner of Swecon, is a well-established agricultural cooperative with a wide array of operations spanning agriculture, energy, food, and machinery. Swecon itself reported revenues amounting to 10 billion SEK for the full year of 2024. The acquisition also includes Entrack, renowned for providing aftermarket products and fully owned by Lantmännen.

This deal marks another chapter in the evolution of Volvo Construction Equipment as it seeks to adapt to market demands while improving service delivery to its customers. The strategic alignment of resources and capabilities is expected to foster innovation and operational efficiency.

Volvo CE's persistent commitment to customer-centered solutions and sustainability reflects in its long-term growth strategy, which now sees a robust addition with the integration of Swecon. The acquisition signifies a concrete step towards enhancing the customer experience and operational efficiency in Europe’s competitive construction equipment market.

Founded in 1927, the Volvo Group is dedicated to shaping the future landscape of sustainable transport and infrastructure solutions. With a global workforce of over 100,000, the company continues to serve customers in nearly 190 markets. The commitment remains strong towards innovation and providing comprehensive solutions, solidified through strategic acquisitions such as that of Swecon.

For further information regarding this acquisition and other business updates, please visit Volvo Group's official website. Additionally, industry professionals can access press materials and updates through their media relations contact or LinkedIn presence.

Contact Information:
Claes Eliasson
Head of Media Relations
Tel: +46 76 553 7229