Hexatronic continues diversification; announces acquisition to expand its Harsh Environment business area

Hexatronic Group AB (publ.) has signed a binding agreement to acquire 100 percent of the shares of JOWO Systemtechnik AG, a German manufacturer and distributor of connectors and related products serving customers primarily within the defense sector as well as in the energy and broader industrial sectors.

Through the acquisition, Hexatronic strengthens its connectivity offering within the Harsh Environment business area. JOWO adds both complementary technology and deeper access to key customer segments, particularly in the European defense market. The acquisition supports Hexatronic’s strategy to grow Harsh Environment and further diversify the Group’s end‑market exposure.

In 2025, JOWO reported net sales of approximately EUR 18 million with an EBITDA margin around 14 percent.

The fixed enterprise value amounts to EUR 11.8 million, corresponding to an EV/EBITDA multiple of 4.7x. The transaction also includes a self-funded earnout based on performance, payable in 2031.

“I am delighted to welcome JOWO to the Hexatronic Group. The acquisition is an important step in our strategy to expand our connectivity business. I am also very happy that the management team will stay with the company and remain part of the Hexatronic Group,” says Jakob Skov, Head of business area Harsh Environment.

“This acquisition underpins our strategy to accelerate growth in the Harsh Environment business, which grew organically by 11 percent in 2025. Following the acquisition, pro forma net sales for Harsh Environment will be approaching SEK 1.5 billion, adding significant presence and capability in the important defense market.” says Rikard Fröberg, CEO of Hexatronic.

“We are thrilled to join the Hexatronic Group and look forward to continuing JOWO’s growth journey under its ownership. This transaction will enable us to reach more customers and expand our offering,” says management of JOWO.

The transaction is subject to approval by the German Authorities under the German Foreign Trade and Payments Act, and is expected to close in Q2, 2026. JOWO will be consolidated into the Hexatronic Harsh Environment business area.

The acquisition has been financed through available cash and existing credit facilities.