How Does Industrivarden Company Work?

Industrivarden's primary business model revolves around active ownership. This involves taking substantial stakes in companies and actively participating in their governance and strategic direction.

The company's value proposition lies in its ability to leverage deep industrial knowledge and financial strength to foster long-term growth in its portfolio companies. This includes supporting significant upfront investments for future value generation.

Industrivarden maintains sizable ownership in eight listed Nordic companies across various sectors. As of June 30, 2025, these included significant holdings in commercial vehicles, industrial equipment, banking, consumer products, forestry, telecommunications, construction, and materials technology.

Dedicated teams continuously evaluate portfolio companies' strategies, market positions, and financial health. Industrivarden exercises active ownership through board representation and ongoing dialogue, contributing to enhanced profit generation and value growth.

The company's 2024 equity strategy prioritizes disciplined capital allocation within high-margin industrial and technology sectors. A notable example is the SEK 123 million investment in Alleima, aligning with megatrends like energy transition and digitalization.

In the first half of 2025, Industrivärden's Class A shares returned 1% and Class C shares 0%, trailing the SIXRX index's 2% growth. This performance was influenced by portfolio concentration and the performance of holdings like Volvo and Skanska, though Sandvik achieved a 25% return.

Despite market challenges, Industrivärden continued its investment activities in the first half of 2025, acquiring shares worth SEK 2.4 billion. These investments included key companies such as Sandvik, Essity, Volvo, and Handelsbanken.

Industrivärden's competitive edge is built on its brand reputation, long-term investment horizon, and profound industrial expertise. Its robust ownership model facilitates active participation in corporate governance, enhancing value and mitigating risks.

Industrivärden is a leading Swedish investment company known for its concentrated, long-term investments in Nordic companies. As of June 30, 2025, its net asset value was SEK 165.6 billion. The company's performance in the first half of 2025 saw Class A shares return 1% and Class C shares 0%, slightly underperforming the Stockholm Stock Exchange's total return index (SIXRX) which rose by 2%.

The primary risk for Industrivärden is share price volatility, with a 1% change in its equities portfolio potentially impacting its value by approximately +/- SEK 1,700 million as of March 31, 2025. While interest rate and financing risks exist, they are managed through a strong financial position, low gearing, and high credit ratings.

Industrivärden's strategy focuses on active ownership to drive long-term value creation through strategic development and operational improvements in its holdings. The company integrates sustainability and ESG aspects into its business models, aiming to align with megatrends like energy transition and digitalization.

Shareholder confidence, a key aspect of Industrivärden's operations, is built on consistent, long-term value creation and active ownership. The recent increase in Lundbergs' stake to 20.6% equity and 26.02% voting control underscores a continued belief in this active ownership model to unlock potential.