Relais Group’s Swedish group company Team Verkstad has completed the acquisition of Landströms Bygg & Plåt i Gällivare AB

Relais Group’s Swedish unit Team Verkstad has completed the acquisition of 100% of Landströms Bygg & Plåt i Gällivare AB effective 2 February 2026, with the business to be reported in the Scandinavia segment from the start of February. Part of the purchase price — SEK 11.0 million — will be settled in Relais Group shares, with the Board to resolve a separate share issue. The deal underscores Relais’s buy-and-build strategy; the group reported 2024 net sales of EUR 322.6m (2023: EUR 284.3m), completed seven acquisitions in 2025 and employs about 1,700 staff across eight countries.

Analysis

Market structure: Relais Group (Nasdaq Helsinki: RELAIS) benefits directly — incremental scale in Northern Sweden, pricing leverage in commercial vehicle repair/metalwork, and cross-selling opportunities; small independents (local bodyshops, single-site plate shops) are losers as consolidation accelerates. The acquisition, financed partly with SEK 11.0m in shares, signals an acquisitive growth model that can lift EBITDA margins 150–300bps over 12–24 months via back-office centralization and purchasing scale if integration succeeds. For cross-assets, expect modest tightening of credit spreads for Relais and peers (improved cashflow visibility), mild SEK sensitivity vs EUR on transaction consolidation, and steel price volatility (±10% moves) to materially swing margins for metal-intensive targets.

Risk assessment: Tail risks include failed integrations leading to >10% EPS dilution, meaningful share issuance (>3–5% of market cap) that compresses NTA, or regulatory pushback on local monopolies (low probability). Immediate (days) effects are limited; short-term (weeks/months) hinge on disclosure of share issue size and 1H26 trading updates; long-term (12–36 months) depends on cadence and quality of add-ons. Hidden dependencies: acquisition premium financed with stock masks real cash ROI; second-order risk is workforce churn at small acquired shops reducing revenue run-rates by 5–15%. Catalysts: disclosure of purchase price allocation, Q1 trading update, and any larger M&A announcements.

Trade implications: Direct play — selective long RELAIS to capture roll-up premium and re-rating if 2–3 bolt-ons/year continue; pair trade — long RELAIS vs short larger incumbents without roll-up scale. Options — consider 12-month call spreads to cap cost if implied vol rises after share issue; size trades small (1–3% portfolio). Rotate overweight to Nordic auto aftermarket SMEs and underweight commodity-exposed OEM suppliers for next 6–12 months.

Contrarian angles: Consensus underestimates integration execution risk and dilution from equity-financed deals; market may underprice a 3–6% immediate float if share issuance not fully disclosed. Historical parallels: successful consolidators (e.g., plumbing/electrical roll-ups) re-rated after 2–3 accretive acquisitions; poor parallels show permanent multiple compression when acquisitions are earnings-dilutive. Unintended consequence — aggressive roll-up can create culture/quality erosion, triggering customer attrition and margin contraction of >200bps over 12 months.

Key Decisions for Investors

• Establish a 2–3% long position in Relais Group (Nasdaq Helsinki: RELAIS) within 2–6 weeks, target +20% total return in 12 months, set a hard stop-loss at -10% from entry and trim 50% of the position at +15%.
• Implement a pair trade: long RELAIS (1.5% portfolio) vs short Mekonomen AB (Nasdaq Stockholm: MEKO B) equal notional for 6–12 months, aim for RELAIS to outperform by 10–15%; exit if either leg moves >12% adverse.
• Buy a 12-month RELAIS call spread (long strike ~+15%, short strike ~+35%) sized 0.5–1% portfolio to capture re-rating while limiting premium; if Helsinki options unavailable, use OTC calls or a forward collar.
• Risk control: require disclosure of share issue size within 30 days — if issuance >3% of shares outstanding or acquisition adds <5% incremental EBITDA, reduce RELAIS exposure to <1% or stop out entirely; hedge SEK exposure if >30% revenues priced in SEK.