Volvo’s Construction Equipment arm Volvo CE has completed the acquisition of Swedish equipment dealer Swecon for US$780m (SEK7bn) following the approval of the European Commission.
Swecon operates in Sweden, Germany, Estonia, Latvia and Lithuania, with approximately 1,400 employees.
Volvo will own Swecon’s full business scope, including sales of products and services, rental operations, aftermarket services and support, offices and workshop facilities.
The move aims to boost Volvo’s retail operations in key markets; increasing Volvo CE’s retail core in Europe.
The deal includes the acquisition of Entrack, which was bought by former parent company Lantmännen in 2024.
Head of Volvo CE, Melker Jernberg, said his company was excited to be welcoming all Swecon employees and that, together, “we will be stronger and better equipped”.
Tomas Kuta, the previous head of Volvo CE has been appointed as the new head of Swecon, succeeding Tomas Börjesson, who has retired.
Volvo CE notes that in the first quarter of 2026 its earnings will be diluted by a higher cost base in inventory due to the newly acquired stock including the pre-acquisition wholesale margin from when Volvo CE sold machines to Swecon.
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