Industrivärden

Industrivärden

Industrivärden is a publicly traded holding company that contributes, through active ownership, to the longterm development and value creation of its holdings. The operations are based on a portfolio of listed Swedish companies with strong market positions and favorable value potential. Based on strong positions of influence, a long-term approach and extensive knowledge, Industrivärden contributes to the operational and strategic development of the portfolio companies. The goal is to generate an attractive long-term return at a balanced risk. 

Industrivärden’s portfolio is primarily exposed to engineering industry, commercial vehicles, bank operations and consumer products. The portfolio companies occupy strong positions in their particular areas and the share portfolio is estimated to have attractive long-term return potential. 

The business model is based on Industrivärden’s relative strength factors in the form of a long-term investment perspective, strong positions of influence, a well-developed ownership model, depth of industrial knowledge and experience, financial strength and an extensive network. The long-term investment perspective entails a natural focus on sustainable development and long-term value-adding measures in the portfolio companies. 

In its ownership role, Industrivärden aims to contribute to the portfolio companies  establishing and ultimately strengthening their leading positions in their respective industries. Considerable importance is attached to distinct management, focus, flexibility and financial strength. Its active ownership is exercised primarily through involvement in nomination committees, representation on boards of directors and continuous evaluation of companies, boards of directors, CEOs and company management. 

Sustainability

Industrivärden achieves the greatest impact on sustainability in its role as an active owner of its portfolio companies. The company therefore acts as an owner that imposes demands and has high ambitions to contribute to sustainable operations. This concerns, on the one hand, minimizing sustainability-related risks and, on the other, capitalizing on sustainability-related opportunities. 

Financial policies

Industrivärden’s dividend policy stipulates that the company is to generate a positive cash flow before portfolio changes and after payment of dividends. The aim of this is to build investment capacity over time and to be able to support portfolio companies when needed. As a rule, the debt/equity ratio is to range from 0 to 10%, but may periodically differ from this range.