{"id":7459,"date":"2026-04-24T19:12:35","date_gmt":"2026-04-24T19:12:35","guid":{"rendered":"https:\/\/www.ceo-worldwide.com\/blog\/?p=7459"},"modified":"2026-04-24T19:12:38","modified_gmt":"2026-04-24T19:12:38","slug":"strategic-turnaround-and-value-creation-at-vicap","status":"publish","type":"post","link":"https:\/\/www.ceo-worldwide.com\/blog\/strategic-turnaround-and-value-creation-at-vicap\/","title":{"rendered":"Strategic Turnaround and Value Creation at VICAP"},"content":{"rendered":"
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Role:<\/strong><\/strong><\/td>Group CEO, VICAP A\/S & CEO, Exhausto A\/S<\/td><\/tr>
Tenure:<\/strong><\/strong><\/td>2011 \u2013 2013<\/td><\/tr>
Industry:<\/strong><\/strong><\/td>Ventilation & Indoor Climate Manufacturing (Denmark \/ Germany \/ Poland)<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

THE MANDATE<\/strong><\/h3>\n\n\n\n

Originally recruited by VKR Holding to lead an aggressive ‘Build and Buy’ international growth strategy \u2014 targeting a scale-up of the Ventilation & Indoor Climate division (VICAP) from DKK 810 million to DKK 2 billion in revenue by 2015. Shortly after taking the helm, the owner’s strategic landscape shifted: VKR Holding transitioned from active industrial investor to passive financial investor. The mandate was completely redefined \u2014 prepare the division for total divestiture while resolving deep-seated organizational and leadership issues across four business units that had not been identified prior to arrival. The task was to maximize enterprise value before sale while stabilizing the organization through fundamental operational reform.<\/p>\n\n\n\n

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KEY INITIATIVES<\/strong><\/h3>\n\n\n\n
Focus Area<\/strong><\/strong><\/td>Initiatives Implemented<\/strong><\/strong><\/td><\/tr>
 <\/strong>  <\/strong>  <\/strong> Financial Optimization & Profit Protection<\/strong><\/strong><\/td>\u2022 Implemented an immediate Profit Protection Plan generating DKK 25 million in savings through a 20% reduction in total headcount
\u2022 Realized a further DKK 22 million through rigorous process optimization \u2014 ensuring the organization was lean and fit for future ownership
\u2022 Achieved a total permanent annual bottom-line improvement of DKK 47 million
\u2022 Safeguarded margins in response to volatile market conditions across all four business units<\/td><\/tr>
 <\/strong>  <\/strong>  <\/strong> Operational Turnaround & Excellence<\/strong><\/strong><\/td>\u2022 Reorganized leadership teams and optimized all functional areas with specific emphasis on making sales efforts more commercially aggressive
\u2022 Implemented Lean production principles across the full groupSuccessfully in-sourced production from Velux to the German production unit, significantly increasing capacity utilization
\u2022 Established a dedicated sourcing office in China, reducing material costs and improving competitive positioning<\/td><\/tr>
 <\/strong>  <\/strong>  <\/strong>  <\/strong> Strategic Synergy & Market Growth<\/strong><\/strong><\/td>\u2022 Established group-wide best practice synergies between units, avoiding the need for expensive centralized staff functions
\u2022 Developed a strategic market entry project for Poland via acquisition, strengthening the Northern European footprint and adding a low-cost production unit
\u2022 Extended the product offering through a Danish acquisition finalized for transaction
\u2022 Positioned two business units as standalone growth platforms ready for new ownership<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

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RESULTS<\/strong><\/h3>\n\n\n\n

Successful Divestiture from a Position of Strength<\/strong><\/p>\n\n\n\n

Despite a general market downturn in the second half of 2013, the turnaround results enabled a clean exit from a position of operational strength. At the time of sale, VICAP maintained a revenue of DKK 810 million and a normalized EBITDA of DKK 48 million. The restructuring and DKK 47 million in annual profit improvements delivered ensured VKR Holding achieved a high combined return on invested capital \u2014 with 70% of the group sold at an ROI exceeding 60%.<\/p>\n\n\n\n

Outcome & Context<\/strong><\/p>\n\n\n\n

VICAP was transformed from a loosely unified group of acquisitions into a streamlined, profitable division ready for independent ownership. The ability to simultaneously manage a radical mandate shift \u2014 from aggressive growth to value-maximizing divestiture \u2014 while resolving deep organizational issues across multiple business units demonstrated the importance of operational agility at the group CEO level. The core lesson: the most valuable turnarounds are those that create optionality; by building a lean, profitable platform, a forced sale became a high-ROI exit.<\/p>\n\n\n\n

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SUMMARY OF IMPACT<\/strong><\/h3>\n\n\n\n
Category<\/strong><\/strong><\/td>Outcome<\/strong><\/strong><\/td><\/tr>
Divestiture Outcome<\/strong><\/strong><\/td>70% of the group sold at an ROI exceeding 60%<\/td><\/tr>
Bottom-Line Turnaround<\/strong><\/strong><\/td>DKK 47m permanent annual profit improvement (DKK 25m headcount reduction + DKK 22m process optimization)<\/td><\/tr>
Future Growth Strategy<\/strong><\/strong><\/td>2 acquisitions ready for transaction with estimated EV\/EBITDA multiples below 3x<\/td><\/tr>
Organisational Overhaul<\/strong><\/strong><\/td>New group organisation with coordinated strategic initiatives, KPIs, and aligned leadership teams across all business units<\/td><\/tr>
Financial Position at Exit<\/strong><\/strong><\/td>Revenue of DKK 810m and normalized EBITDA of DKK 48m at time of sale<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n \n \n\n \n
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