Newsroom

In the newsroom section, you can find articles and media reports regarding Investor and our activities. From time to time, we also provide comments, clarifications and background information relating to articles, interviews and other discussions. Comments are available in Swedish.

Investor comments

  • 02/21/2017 20:06

    Investor informs – position on number of board assignments

    Introduction

    Investor AB (“Investor”) is a Nordic-based industrial holding company founded almost one hundred years ago by the Wallenberg family, with portfolio companies including ABB, Atlas Copco, Electrolux, Ericsson, Nasdaq, SEB and Wärtsilä.

     

    Investor's business concept is to generate long-term attractive returns for shareholders by owning and developing companies with the ultimate target to create sustainable value. We apply an active ownership model to create long term value in our investments.

     

    The cornerstone of our model is the Board of Directors. Based on our significant ownership in companies we use our industrial network to actively recruit the most suited board for each company. We support the board and management in our companies in creating and driving value creation plans focusing on operational excellence, growth, acquisitions as well as capital and industrial structure.

     

    As a large owner in many listed global companies, in most of which where we are also actively taking part in the nomination of board members, we are aware of the increasing focus and demand on a limitation of the number of board assignments a member of the board of a listed company should be permitted to have.

     

    We fully support the importance of board members having sufficient time to perform their tasks as members of the board and that this has to be evaluated for each proposed member of the board. This is key to us as an owner and a prerequisite for getting the expected traction and value from each member of the board. Therefore, this is one of the key aspects we always evaluate in the nomination process for our portfolio companies.

     

    However, the determination must be made on an individual basis and depend on individual circumstances such as an evaluation of other assignments and undertakings, previous experience, future plans etc. Therefore, any fixed rules on e.g. how many assignments a specific board member may have (whether or not such rules take into account the difference between a “professional board member” and a person with an executive position) will not serve the purpose of improving such evaluation. Rather, such a fixed and inflexible regulation will preclude an initiated evaluation which takes into account the individual circumstances in a way we deem necessary.

     

    Moreover, the business model for us as a long term industrial holding company entails the management of investments through representatives from our management and board in the boards of the portfolio companies. It is therefore a natural part of the job for the CEO and other members of the management (as well as members of the board) of an industrial holding company like Investor to also be members of the boards of the portfolio companies. As an active and professional long term owner, Investor can support such board members in the portfolio companies by business teams following the relevant markets, competitors, trends etc.

    Therefore, Investor does not support the concept of a fixed number of permitted board assignments and would welcome a more flexible approach by proxy advisors as well as institutional shareholders to leave room for a more qualified evaluation of time commitment and to take more consideration to the business model of long term industrial holding companies which we believe contributes to long term value creation in many listed companies.

  • 10/12/2016 16:30

    Investor comments on reportings in the media concerning the costs of the party in connection with our 100 year celebration

    Investor turns 100 years and will in conjunction with this host an open house-like mingle with a joint theme exhibition, at Investor's wholly-owned Grand Hôtel.

     

    The mingle and theme exhibition at Grand Hôtel should be seen in light of that this is a unique event to celebrate our first 100 years. We use this opportunity to showcase our portfolio companies and their innovations that will carry on into the future. We are very proud of this.

     

    For this purpose we use Investor's own hotel. We are transparent and we have openly reported our budget for this to be SEK 10 million. But over half of the budget, i.e. 50%, is used to build the exhibition areas for the companies, their innovations, to tell the story of Swedish industrial history throughout our first hundred years, and technology-related material for the exhibition areas.

     

    A quarter of the budget, i.e. 25%, is further used to rent all areas of the hotel for the evening. The costs for Investor will of course in reality be less due to the fact that we are the sole owner of the hotel, so we keep costs and revenues within our own group. But nevertheless we have been open and transparent that this is included as a subtotal in our budget, when questions have been posed.

     

    Finally, a quarter of the sum is budgeted for finger-food, drinks and presentation of Swedish culture. It's not a sit-down or formal dinner, but an open house-mingling event. The performers booked for the celebration are singers and choir members and orchestras. Since this is not a formal sit-down dinner, it is not possible to determine an exact cost for each individual guest. But all such sums are considerably lower than what has now been reported in the media.

     

    We are proud that we turn a 100 years old and we of course want to, together with our portfolio companies and network, shed light on our long-term ownership, which has been to the benefit for both our companies' ability to innovate, and the development of society as a whole.

     

    Several companies such as Atlas Copco has been in our portfolio since its inception in 1916.

     

    The aim of the theme exhibition is to showcase our portfolio companies and their innovations and how they meet the challenges of tomorrow.

     

    The theme of the exhibition is INNOVATION AND IMPACT and all of our 19 holdings will showcase their latest innovations under three themes, Industry 4.0, Sustainable Cities and Life Science and Care.

     

    Guests for the celebration mainly include Investor's employees in Sweden and abroad, as well as many representatives of Investor's holdings. This is by far the majority of our guests. In addition, we have invited our Swedish and international networks and business contacts. Guests are invited together with their spouse/partner as it is a 100-year anniversary celebration.

     

  • 09/14/2016 08:33

    Investor comments on ABB’s strategic review of the Power Grids division

    ABB has strong market positions and is now conducting an unconditional strategic review of its Power Grid Division. This is a review and process that Investor, alongside the company management and board agrees on shall be awaited and analyzed before any decision on the way forward is taken by the board of directors.

  • 02/24/2014 22:30

    Investor's trading position in Scania

    In conjunction with Volkswagen’s bid for the outstanding shares in Scania, Investor discloses that it has a trading position of 3.1 million shares in Scania. As a trading position, the holding in Scania is an investment with a limited investment horizon, not included in Investor’s long-term strategic investments. Investor will await the recommendation by the independent representatives on Scania’s Board of Directors and the prospectus from Volkswagen before deciding on how to respond to the bid.

  • 11/12/2013 09:00

    Investor comments the article in SvD Näringsliv November 12, 2013

    On November 12, 2013, the Swedish newspaper Svenska Dagbladet published an article regarding Investor's tax structure for partner-owned and wholly-owned subsidiaries.

    Read our comment to the article in full, here below (available in Swedish).

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