By Anna Molin
STOCKHOLM--Investor AB (INVE-B.SK) on Wednesday said Borje
Ekholm would step down as chief executive to head up a new division
that will shepherd the investment company's wholly-owned
subsidiaries.
The chief executive will be replaced by Johan Forsell, who has
been in charge of the company's core investments since 2006 and is
part of the management group, Investor said.
The switch will take effect from the company's annual general
meeting in May when Mr. Ekholm, who has served as CEO for almost
ten years, will also resign from the board.
Investor--the investment vehicle of Sweden's powerful
Wallenberg-family--said it will set up a new division, Patricia
Industries, with an initial funding commitment of 6 billion Swedish
kroner ($726.9 million) and offices in Stockholm and New York.
The unit will run independently to develop existing wholly-owned
subsidiaries and find new ones, Investor said. Its board and
decision-making committee will include Marcus Wallenberg, Jacob
Wallenberg and Mr. Forssell as well as external members with
relevant experience.
Also Wednesday, Investor presented its year-end report and said
it had bought additional shares in listed holdings Zurich-based
power automation company ABB (ABB) and Finnish shipping engine
manufacturer Wartsila Oyj (WRT1V.HE) in the fourth quarter.
Mr. Ekholm in his executive comments critized Sweden's new
center-left government, which late last year first called and then
cancelled a snap election after a populist party derailed its
budget plans.
"The new government has managed to create unsurpassed
uncertainty that may hurt the future investment environment," Mr.
Ekholm said. "The U.S. economy performs well despite Washington. We
may not be as fortunate."
The company's closely-watched net asset value rose to SEK343 per
share, an increase of SEK19 per share over the quarter.
Net profit at the Stockholm-based company fell 7.9% to 12.99
billion Swedish kroner ($1.57 billion) in the fourth quarter
compared to the year earlier.
The board proposed a dividend of SEK9, up from SEK8 a year
earlier.
-Write to Anna Molin at anna.molin@wsj.com; Twitter:
@AnnaWSJ
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