“We feel both humble and proud that Ferd was chosen to be part of the further development of Norkart. It is a company that we have followed for a number of years, and we have invested significant resources in understanding the market and the company’s position and potential. We are impressed by the expertise, products and customer relationships that the company has built up, and not least by its people and unique culture”, explains Krisztina Horvath, Investment Professional at Ferd Capital.
“Norkart is a company that helps make society smarter, better and more efficient using digitalisation and data. It is therefore a good fit with Ferd’s vision of creating enduring value and leaving clear footprints, and also with our strategy of strengthening Ferd’s focus on technology”, adds Gustav Martinsen, also an Investment Professional at Ferd Capital.
Gustav Martinsen explains that Norkart started out in 1961 as a pioneer in digital map production and has since built up unique expertise in maps and municipal engineering technology, as well as a significant database of map and real estate information, which is the basis for its current products and services.
“The company now has Norway’s most complete data warehouse for geographical information. By digitalising municipalities and work processes between the private and municipal sectors, Norkart helps improve municipal services and community resource usage, and it also contributes to significant value creation by providing high-quality information on which to base decisions to a wide spectrum of private sector customers, primarily the real estate and construction industry, but also insurance companies needing to carry out risk assessments”, he explains.
Krisztina Horvath emphasises that Norkart’s markets are growing strongly as a result of digitalisation and the desire to make greater use of data, and that a number of Norkart’s competitors have consolidated their businesses in recent times.
“As the company’s largest shareholder, the Algerøy family took the initiative of finding a new owner last autumn. Its aim was to put Norkart in a position to lead the way in this consolidation and to strengthen the company’s market position”, she explains – and adds that there was much interest among Norwegian as well as international investors in owning the company.
“Ferd won out in the face of stiff competition following an exciting process with a real marathon finish’, explains Sven Henrik Andresen, another Ferd Capital Investment Professional and a member of the team responsible for the acquisition, which also included Are Dragesund and Rikke Reinemo, both of whom are Investment Professionals and Co-Heads of Ferd Capital.
Sven Henrik Andresen adds that Ferd is now looking forward to investing further in people, technology and the development of innovative solutions:
“Ferd will contribute financial muscle and commercial expertise in order to strengthen Norkart in its work to identify new avenues for growth, both organic and through acquisitions, when the opportunity arises”, he comments.
Norkart has 190 employees and reported revenue of NOK 338 million in 2020 following growth of nearly 13% on average for the last five years. Over this same period its underlying earnings have doubled. The company has offices in Sandvika, Lillehammer, Bergen, Trondheim and Kristiansand.
Read the press release here (only available in Norwegian).