Sells the water to foreign investors
Jón Ólafsson says the brand Icelandic Glacial one of the most valuable of Icelandic brands. Composite image
Father and son Jón Ólafsson and Kristján Ólafsson have sold a large stake in the Icelandic Water Holdings company to a group of foreign investors.
Purchase agreements have been signed but the deal is to be completed on August 22. Jón Ólafsson says the purchase price is confidential, as is the share of new investors in the company.
“This is a wide group of investors who have gone to one company that invests in us. They are investors from around the world,” he says.
The name of the joint venture will be announced at a later date.
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Jón Ólafsson says the deal has a long time in the making. He met some of the investors in France in December 2019, but since then the pandemic, which hit with full intensity in March 2020, set in. Now, however, things can be sorted out.
He says that the investors plan to greatly increase production capacity at Icelandic Water Holdings in Hlíðarendi in Ölfus. This will be done by building several more factories, but the current plant cost about two billion with equipment and equipment at the time.
Jón Ólafsson says that the company’s plan makes it clear that the number of staff needs to increase significantly. The company’s sales increased by 20-30% in the first half of the year, without increasing sales outlets or undertaking a special marketing campaign, but the lack of inputs following the pandemic has slowed production, as has been the case with more producers. With new investment, sales are expected to increase by over 50% per year for the next few years, which will increase the business in a few years.
The most valuable brand
The Ólafssons founded the company in 2004. says it has invested roughly US $200 million in building the Icelandic Glacial brand, which has become the most valuable Icelandic brand.
According to Morgunbladid’s sources, Chinese wealth manager Jack Ma has been involved in the transaction, who built up a large business empire through the Alibaba website.
Jón Ólafsson says that the company’s involvement with Ma would be welcomed as it can make a huge difference.
