Gorenje, one of Slovenia’s biggest household appliances maker stated last Tuesday that they have paid 4.5 million Euros or 5.79 million dollars to get the Asko Appliances Group, a Swedish company.

Last month, the acquisition of such company was publicized however there were no thorough details presented regarding the transactions that took place. This is one of the biggest milestones of Gorenje as it will strengthen the company’s position in the Nordic countries, North America as well as Australia. The finances for the new acquisition were secured through issuing 25 million euros of new shares last June.

Asko Appliances Group was formerly owned by Italy’s Antonio Merloni Group. It has production units in Sweden as well as Finland wherein the products are primarily sold Scandinavia, North America and Australia. It has revenue of 173 million euros last 2009 while for this year; revenues are estimated to reach 176 million euros.

Gorenje, Slovenia’s largest household appliances maker just recently posted their first-quarter group net profit of 0.5 million euros or $670,900 in comparison with its loss of 14.7 million in the same period of 2009.

Gorenje, Slovenia’s second largest exporter, have stated last Thursday regarding their sales in the first three months that showed that they had risen 1.5% to 291 million euros. Although the world market is experiencing recession and they have been very optimistic with their sales, they are still experiencing difficulties in operating their market conditions.

The said company maintained its December 2010 forecast which is to put a full-year group net profit of 10.1 million Euros this year on sales of 1.24 billion. Last Thursday, Gorenje shares closed 0.37% lower.

Gorenje, Slovenia’s largest household appliances manufacturer is planning to sell a new share worth 50.2 million Euros of $67.5 million which increases their share capital to 26.9 percent. Each new share will be sold for 13.31 Euros each compared to the closing price last Friday of 14.72 Euros. The company stated that their shares which are worth 30 million Euros will be offered to the International Finance Corp (IFC), a part of the World Bank. The remaining shares will be offered primarily to the existing share holders then later will be offered to other interested investors.

The company as well shared that the purpose of selling new shares is for the expenses needed for takeovers, restricting as well as the development of new products. This May 28, the share increase needs to be approved by the shareholders. The IFC also stated that they will provide 50 million worth of loans for Gorenje as well as will raise another loan still for Gorenje worth 100 million Euros in syndication.

Last March, Gorenje reported 12.2 million Euros worth of group net loss which is their first full year loss since being listed in the year 1998. It was a great contradiction to their profit in 2008 amounting to 10.2 million. Gorenje which is Slovenia’s second largest exporter that sells 90% of their production worldwide was badly affected with the global crisis because of the low global demand.