EQT Ownership Led Ellab to Near 40% Annual Revenue Growth
During its ownership by private equity firm EQT Group, thermal validation specialist Ellab nearly tripled its EBITDA and achieved annual revenue growth of close to 40%.
Thermal validation specialist Ellab saw its EBITDA nearly triple and its annual revenue grow by close to 40% during its ownership by private equity firm EQT Group, before its sale in 2023.
EQT acquired the Danish company in 2019 with a strategy to accelerate its growth serving the pharmaceutical, biotechnology, and food manufacturing sectors. The company exceeded its initial growth expectations, driven by strategic shifts and repeated increases to financial targets.
According to former Ellab board chairman Bo Risberg, the company needed a new vision and "outside the box" thinking to maintain its competitive edge, especially given its established growth rate of over 14% for more than a decade. "You need a new vision so that you’re not just doing the same thing and hoping competitors won’t catch up," Risberg stated.
EQT's strategy for Ellab included launching new products and business lines, strengthening sales functions, expanding geographically, and digitalizing operations. The aim was also to scale Ellab by acquiring smaller support engineering firms to complement its validation and monitoring services.