Mumtalakat acquires stake in Spanish-based Premo Group

Bahrain Mumtalakat HoldingCompany (Mumtalakat), the sovereign wealth fund of the Kingdom of Bahrain, has acquired a significant minority equity stake in Premo Group. Premo is a leading manufacturer of customised passive electromagnetic components for applications in automotive, telecommunications and electronics industries, amongst others.

Premo was established in 1962 with headquarters in Malaga, Spain, from which the company oversees its international manufacturing facilities in China, Vietnam and Morocco and its 1,400 employees. “With the upsurge in electric vehicle production and sales globally, from some thousand vehicles sold in 2010 to over 2 million sold in 2018 and a forecast of 10 million electric vehicles to be sold in 2025, the automotive electromagnetics market is projected to grow by six times in size by 2025.

Premo iswell positioned to benefitfrom these strong market trends,” explained Mahmood H. Alkooheji, Mumtalakat CEO. “We strongly believe Premo has the potential to become a leading player in the power magnetics space,” added Alkooheji. Commenting on the transaction, Ezequiel Navarro, Premo Group CEO, said, “This investmentfrom such a highly-regarded and committed long term investor marks an important milestone for Premo.”

This latest investment marks Mumtalakat’s second investment in Spain. With real annual GDP growth of 2.5%, Spain is ranked 30 out of the 189 countries in the World Bank Doing Business Index.