Volvo Construction Equipment (Volvo CE) has completed its acquisition of Swecon following approval from the European Commission.
The transaction, valued at SEK 7 billion, brings Swecon’s operations in Sweden, Germany and the Baltics, including Entrack, fully under Volvo CE’s control .
The acquisition covers Swecon’s entire business scope in these markets, including the sale of construction equipment, rental services, aftermarket support, customer services, offices, workshop facilities and a workforce of approximately 1,400 employees. Swecon recorded SEK 10 billion in revenue in 2024 .
Volvo CE said the move strengthens its retail operations and service sales in key European markets with its strategy to make retail a core part of its business in the region.
By integrating Swecon’s operations, Volvo CE will manage customer relationships more directly across these markets .
The company noted that earnings in Q1 2026 will be temporarily impacted due to higher inventory costs linked to pre-acquisition wholesale margins. The estimated effect is SEK 300 million, which is expected to reverse once the acquired inventory is sold.
Shahriena Shukri is a journalist covering business and economic news in Malaysia, providing insights on market trends, corporate developments, and financial policies. More about Shahriena Shukri
