OCTOBER 23 2024
Autocirc is a rapidly growing and profitable group in the automotive aftermarket. Its circular business model is centred on a closed-loop ecosystem for reused and recycled original automotive spare parts. This ecosystem involves the collection, refurbishment, and redistribution of spare parts, thereby reducing waste and promoting sustainability. Hugues Delval, CEO of Autocirc, Joakim Lundvall and Magnus Hammarström, Nordic Capital Advisors explain how the company’s mission aligns with sustainable development and market expansion.
Since Nordic Capital’s investment, in February 2023, Autocirc has embarked on an ambitious growth and sustainability journey marked by several strategic acquisitions. Over the past 1.5 years, Autocirc has completed 12 acquisitions, primarily in Sweden, Norway, and Finland, while also expanding into other European markets, including France and Portugal.
“Our mission is to lead the way in sustainable automotive solutions by maximising the reuse and recycling of original spare parts. Every acquisition strengthens our circular business model and allows us to drive positive environmental impact across Europe,” commented Hugues Delval, CEO of Autocirc.
Strategic Acquisitions to Enhance Market Position
Examples of recent investments include:
• Ådalens Bildemontering AB in Sweden: A leading player in dismantling and selling vehicle parts.
• GBD-Grønvolds Bildemontering in Norway: The leading and largest car dismantling company in Norway, enhancing Autocirc’s commitment to recycling and sustainability.
• Hinaus Sjöberg Group in Finland: A leading group of companies in car transport and towing, including the subsidiaries Autonkuljetus Sjöberg OY, Hinaus Sjöberg Itä-Suomi OY, and Konekuljetus Sjöberg OY, boosting logistical capabilities for towing and car transport.
• Coram Auto SAS in France: A leading French dismantler specialized in vehicle dismantling, recycling and second-hand trading and part of the Caréco Group network.
• SVP Auto in Portugal: A well-established company in Portugal, specialised in vehicle dismantling, recycling and second-hand trading.
These strategic acquisitions are not just about growth, but also about supporting Autocirc's unwavering commitment to a circular economy, which is projected to reduce CO2 emissions by as much as 75% compared to using new parts, according to IVL Swedish Environmental Research Institute.
“Each acquisition strengthens our ability to build a sustainable ecosystem in the automotive aftermarket. By integrating leading local players into our circular model, we’re expanding our reach and impact across Europe while continuing to innovate in recycling and sustainability,” added Hugues Delval, CEO of Autocirc.
Nordic Capital Evolution: Accelerating sustainable growth and international expansion in the mid-market
Autocirc is part of the portfolio of Nordic Capital Evolution, launched in 2021. Nordic Capital Evolution is focusing on investments in growth companies in the mid-market and underscores Nordic Capital’s dedication to innovation, sustainability and sector specialisation. The Evolution Fund continues Nordic Capital’s main strategy, leveraging the firm’s full range of institutional resources and expertise while allowing for a more agile approach.
“Nordic Capital Evolution is designed to back ambitious companies with strong growth potential while embracing sustainability. We focus on providing companies with the resources, network, and expertise they need to scale internationally and create long-term value. Autocirc is a perfect example of a company that fits into Evolution’s investment strategy,” commented Joakim Lundvall, Partner and Co-Head of the Nordic Capital Evolution Advisory Team.
“Nordic Capital is well-equipped to support Autocirc in achieving its growth ambitions while driving sustainable change in a traditional industry. Autocirc’s innovative approach extends the lifespan of car parts and materials, providing a competitive edge while significantly reducing waste and lowering carbon emissions, ultimately transforming how the automotive sector views sustainability,” commented Magnus Hammarström, Managing Director, Nordic Capital Advisors.
At Nordic Capital, sustainability is integral to the business strategy. By investing in companies that actively work to solve global challenges, Nordic Capital aims to create a prosperous society for everyone and drive transformative, sustainable change. This commitment positions Nordic Capital Evolution in sustainable investment practices for years to come.
