6.2 Business combinations
Dynniq Energy B.V.
On 23 June, the Group acquired all the shares in Dynniq Energy B.V. This strengthens the Group’s position as an integrated player in the market for the construction and maintenance of energy infrastructure. Dynniq Energy B.V. is a specialist in the design, construction and upgrading of high, medium and low-voltage power stations for grid operators and household energy connections. Dynniq Energy B.V. recorded revenue of €35.0 million and a net profit of €0.4 million for the full year 2022. The effect of the acquisition on the balance sheet is outlined below.
Effect of the acquisition of Dynniq Energy B.V. on the Group’s assets and liabilities at the acquisition date:
|
x € mln |
Carrying value before acquisition |
Fair value adjustments |
Value recognised on acquisition |
|
Right-of-use assets |
1 |
0 |
1 |
|
Intangible assets |
5 |
0 |
5 |
|
Deferred tax |
0 |
1 |
1 |
|
Net work in progress |
6 |
0 |
6 |
|
Trade and other receivables |
4 |
0 |
4 |
|
Cash and cash equivalents |
2 |
0 |
2 |
|
Lease liabilities |
-1 |
0 |
-1 |
|
Deferred tax liabilities |
0 |
-1 |
-1 |
|
Trade and other payables |
-9 |
0 |
-9 |
|
Net identifiable assets and liabilities |
8 |
0 |
8 |
|
Goodwill arising on acquisition |
6 |
||
|
Purchase price |
14 |
||
|
Purchase price payable on achieving earn out |
-1 |
||
|
Total cash purchase price |
13 |
||
|
Cash and cash equivalents acquired |
-2 |
||
|
Net outflow of cash and cash equivalents |
11 |
Industrial buildings
In 2021, the Group recognised approximately €6.4 million for the acquisition of land and a commercial building ahead of the acquisition of the IIBO factory. On 1 July 2022, the Group acquired the plant and equipment and staff for the industrial production of timber-framed buildings, creating a business combination. The purchase price was €5 million, which led to an increase in property, plant and equipment in 2022.