Langholm Capital invests in Cane-Line and Sika-Horsnaes, two leading Danish furniture specialists focusing on woven indoor and outdoor furniture
Cane-Line A/S andSika-Horsnaes A/S, two specialists in woven furniture, have experienced tremendous growth, as demand for modern outdoor furniture has soared.The companies’ Scandinavian design has an international appeal, and today the companies export to more than 50 countries across the world. While outdoor furniture comprises a significant part of sales, the companies recently introduced a new indoor range, which has been very well received by designer conscious customers.
Overthe last five to seven years, the home improvement market has demonstrated a strong growth. Notably, demand for outdoor furniture, outdoor heaters and BBQs has surged, as more and more people are extending their living space outdoors.
Langholm Capital has been following the home improvement market for a long time and was particularly attracted to Cane-Line and Sika-Horsnaes given their impressive historic growth performance and strong niche position in Scandinavia.
The investment in the two companies represents Langholm Capital’s 6th investment from its current fund. The investment is consistent with its strategy of focusing on high growth consumer facing businesses that are well positioned to benefit from long term consumer trends and Langholm’s access to world class consumer research, strategy and brand building skills.
The two owners and Managing Directors, Knud Andreasen and Brian Djernes, retain a majority equity stake in the companies and will also continue as MDs. Commenting on the acquisition: Knud Andreasen & Brian Djernes (Joint Managing Directors)
“After several years working on optimising our supply chain and having gained a good foothold in a number of export markets, we felt that it was time to take the companies to the “next level”. We wanted to do that together with a professional partner who understood the process of developing a brand internationally and building a framework for the next growth phase.
Langholm understands our business well and was very focused during the entire process, and we quickly identified how they can add value going forward.”
Christian Lorenzen (Partner,Langholm Capital) “The management of Cane-Line and Sika-Horsnaes have developed a good platform for exploiting the potential within this high growth market. They have an exciting collection of high quality, premium furniture which is maintenance free leveraging on the convenience trend; the intention is to strengthen the distribution outside Scandinavia and to further improve the relationships with its core customers. We are particularly pleased to be investing alongside Knud Andreasen & Brian Djernes, given their experience and dedication to growing the companies.”