Procuritas Capital Investors V has finalized the sale of Swedish Electromagnet Invest AB to PHINIA Inc, marking a successful exit from the fund with returns exceeding three times its target.

Target Information

Procuritas Capital Investors V ("PCI V") has announced a share purchase agreement for the divestment of its entire stake in Swedish Electromagnet Invest AB (publ) ("SEM") to PHINIA Inc (NYSE:PHIN). Established in 1915, SEM has built a century-long reputation for excellence in delivering ignition systems tailored for various applications, including commercial vehicles, handheld tools, and large stationary engines.

Under PCI V's ownership, SEM has achieved remarkable growth, with revenues increasing by over 50% while maintaining stable, high-profit margins despite several macroeconomic challenges. SEM has utilized its robust R&D capabilities to introduce innovative solutions, notably developing ignition systems for zero-emission commercial vehicles, positioning itself for the growing green transition in the industry.

Industry Overview

Sweden's automotive industry, renowned for its commitment to innovation and sustainability, is increasingly focusing on greener technologies. The country has