Through a newly formed holding company, Priveq Investment Fund IV L.P. (”Priveq Fund”) becomes the new majority owner of Smoke Free Systems, one of the world leading niche players for protection from passive smoking, with a turnover of SEK 200 m. Dan Pitulia, former CEO of Carmel Pharma, previously co-owned by Priveq Investment, invests jointly with Priveq Fund and enters into Smoke Free Systems (“SFS”) as CEO in connection to the investment.
Smoke Free Systems is a well run and profitable niche business with substantial growth potential focused on protection from passive smoking. The company originates from Sweden where indoor smoking was regulated already in the early 90’s. With the experience from the regulated Swedish market, Smoke Free Systems has grown to become a market leader in Europe within solutions for protection from tobacco smoke and passive smoking in workplaces. For the financial year 2010/11, sales reached approximately SEK 196 m with an EBITDA of some SEK 60 m.
”SFS’ strong position on the European market creates an excellent platform for continued expansion. We have been following the development of SFS from a distance for several years and are now very satisfied to get the opportunity to invest in a world leading niche company with substantial growth potential in existing and new markets” says Mats Hjerpe, Partner and Investment Manager at Priveq Advisory AB, investment advisor to Priveq Fund and continues: “It is most satisfying to once again get the possibility to work with Dan Pitulia and we look forward to see what Dan, with his experience and network, will contribute to the company’s continued development.”
“From my point of view, SFS is an exciting platform to continue building on and I look forward to co-operate with Priveq again and to develop SFS further together with the existing staff on current and new markets”, says Dan Pitulia.
For further information, please contact:
Mats Hjerpe, Partner and Investment Manager, Priveq Advisory AB
Tel. +46 8 459 67 71
Dan Pitulia, CEO, Smoke Free Systems
Tel. +46 70 972 08 38