IN Brief:
- Inission signed a €5.3m agreement on 15 October to acquire Bavaria Digital Technik, with completion scheduled for 2 November subject to conditions.
- The Pfronten manufacturer generated approximately €20m revenue in 2025 and employs about 110 people.
- Inission forecasts approximately €17m of annual revenue contribution after completion; consolidation is conditional on the deal closing.
Inission has signed an agreement to acquire 100% of Bavaria Digital Technik, an electronics manufacturing services business in Pfronten, Germany, for €5.3 million. The contract was signed on 15 October 2026, with completion scheduled for 2 November if the conditions of the transaction are met. The proposed purchase would establish an operating presence for the Swedish manufacturing group in Germany; ownership has not yet transferred under the announced timetable.
The purchase agreement was negotiated with the insolvency administrator of AD Capital. The administrator's involvement identifies the counterparty in the sale, not an announcement that Bavaria Digital Technik has stopped production or itself entered insolvency. The buyer expects the Pfronten operation to continue from its existing premises with approximately 110 employees once the transaction closes. Those are plans for post-completion continuity rather than changes already made under Inission ownership.
Founded in 1969, Bavaria Digital Technik supplies customers in industrial automation, medical technology and energy. Its activities fall within the electronics manufacturing services market, in which a contract manufacturer can undertake circuit-board assembly, equipment integration and associated manufacturing support to a customer's design and quality requirements. Inission says the acquisition extends its European customer base and gives the group a direct position in the German market rather than relying solely on its existing facilities elsewhere in Europe.
Bavaria Digital Technik generated approximately €20 million in revenue during the completed 2025 financial year, with EBITDA of €1.25 million. Inission separately forecasts an annual revenue contribution of approximately €17 million following acquisition and consolidation. The first figure describes the target's historical turnover; the second is the buyer's prospective contribution estimate. Neither figure establishes a change in production output, customer contracts or margins since the reported financial year.
The €5.3 million acquisition price is associated with an enterprise-value multiple of 5.8 times the target's average EBITDA over 2023–2025, according to Inission. The company says an acquisition loan of €2.65 million will fund part of the price. No capital expenditure programme or additional manufacturing lines were announced as part of the agreement. Until closing, the operational event remains prospective, despite the signing of the purchase contract.
Bavaria Digital Technik's existing production facilities and customer mix establish the scope for integration after closing. Electronics manufacturing depends on controlled assembly processes, traceability, component handling and inspection, with different qualifications applying to industrial equipment and regulated medical or energy products. A broader group may share procurement or engineering resources, but customer approvals and documented process capability govern whether a particular assembly can be manufactured at another site.
Inission provides design, industrialisation, electronics production and aftersales services as well as mechanical assembly capabilities. Subject to completion, Bavaria Digital Technik's customers could gain access to the group's other manufacturing resources, but cross-site production is not an automatic result of common ownership. Transferring an assembly between factories can require process validation, tooling and test-fixture alignment, material traceability and customer authorisation before output is qualified.
Bavaria Digital Technik operates at its established Pfronten premises, which the announcement says are company-owned. Inission expects the local workforce of approximately 110 to remain. Local engineering support can be important for revisions to circuit-board layouts, component substitutions, inspection criteria and test procedures. The agreement does not announce a new building, an increase in staffing or any completed transfer of customer work to other group locations.
The Swedish group operates two business areas, contract electronics manufacturing under Inission and its own power-electronics products under Inission Power. The group reported approximately SEK 2.2 billion in revenue and an average of 1,240 employees in 2025. The planned German operation adds to facilities in several European markets and elsewhere, following the group's previously announced consolidation of Norwegian operations, but constitutes a separate corporate transaction.
If contractual conditions are satisfied and closing takes place as planned on 2 November, Inission expects Bavaria Digital Technik to enter its consolidated financial statements from that date. The existing German factory would then form part of the buyer's wider manufacturing network. The signed agreement does not establish that integration has occurred already; subsequent operational disclosures will determine whether any production processes, capacity or customer arrangements change following completion.
