Helsingborg, Sweden - Strategic Value Partners, LLC (SVP), a global alternative investment firm with approximately $19 billion of assets under management, and Bjelin Group announce the signing of an agreement whereby funds managed by SVP will make a $205 million preferred equity investment in Bjelin Group to facilitate its long-term growth ambitions.

Bjelin Group AB is fully owned by the Pervan family and its assets comprise a 51% ownership stake in Välinge Group, and a 100% ownership stake in Bjelin Industries; 49% of the shares of Välinge Group are owned by KIRKBI Invest A/S and Välinge Group management.

Välinge Group has two business segments. A licensing business for flooring and furniture applications (Välinge Innovation AB), and an industrial business with large scale production of flooring with Woodura surface technology and furniture in Sweden and Croatia. Bjelin Industries is a veneer, flooring and furniture manufacturing business with production facilities in Croatia.

Bjelin Group AB will acquire all shares in Välinge’s industrial business, which will be merged with Bjelin Industries. The acquisition is expected to be completed during the first quarter of 2025, pending customary closing conditions and governmental approval. Funds managed by SVP will make a €200 million preferred equity investment in Bjelin Group to finance this acquisition and provide capital for additional major investments in Woodura flooring and veneer production with the aim to create a world leading sustainable wood flooring company. The Pervan family will maintain an ownership stake of 97% in Bjelin Group AB.

Välinge Innovation AB, which is a leading R&D, IP and licensing company, mainly related to flooring and furniture technology, anticipates that it will seek a public listing at the appropriate time as the potential high growth of Woodura flooring is expected to benefit Välinge’s license revenues.