Bulten AB announced a binding agreement to divest its European automotive contract manufacturing operations to Swedish investor Maelir AB for an enterprise value of roughly 44.5 million euros, excluding leasing debt. The deal, disclosed on Monday, triggered a notable uptick in the company’s share price as investors reacted to the strategic move.
Under the terms presented by Bulten, the total consideration is estimated at about 273 million Swedish kronor after standard adjustments for cash, debt, working capital and other items. At closing, approximately 41 million kronor is expected to be paid in cash, while the balance - around 232 million kronor - will be provided via a secured vendor note.
The divested operations span facilities in Sweden, Romania, Germany and Poland and involve roughly 1,000 employees. Based on Bulten’s reported figures for 2025, the sale would reduce the company’s annual net sales by about 1.9 billion kronor, which corresponds to roughly 38% of group net sales.
Bulten’s management framed the transaction as a continuation of a strategic review announced on June 23, 2025. The company expects the sale to complete no later than October 2026, subject to receipt of necessary regulatory approvals. From the second quarter of 2026, the business targeted for divestment will be classified as assets held for sale.
Following completion, brand rights for the divested business will transfer to Maelir AB. Bulten will retain the right to use the brand for up to 24 months after closing. The company will also keep its full-service provider operations in the United Kingdom and will concentrate on a narrower portfolio with greater emphasis on C-Parts management, sourcing, distribution and precision manufacturing.
Management flagged a sizable accounting impact from the strategic reshaping. Bulten expects to record a total write-down of approximately 1.06 billion kronor tied to this transaction as well as previously announced divestments in China and the United States. Despite that anticipated impairment, the company indicated the transaction is expected to be accretive to earnings per share on a pro forma basis.
Executives described the move as a step toward creating a less capital-intensive group with a higher share of value-added activities, and a clearer foundation for profitable growth. The precise timetable for regulatory clearance and the operational transition will determine the ultimate timing and cash flow profile of the transaction.
Summary
Bulten has reached a binding agreement to sell its European contract manufacturing operations to Maelir for an enterprise value of about 44.5 million euros, excluding leasing debt. The sale is expected to reduce group net sales by roughly 1.9 billion kronor and involves around 1,000 employees across four countries. Consideration is expected to total about 273 million kronor, delivered as approximately 41 million kronor in cash and a secured vendor note of roughly 232 million kronor. The deal is subject to regulatory approval and is expected to close by October 2026.