In November 1997 Oy Lännen Metsä Ab and Oy Sijoitus Forestia Ab were merged into Oy Metsämarkka Ab. After that the Company acted mainly as a development and investment company in Forest industry.
In Septamber 1998 Norvestia Plc purchased from Cooperative Metsäliitto 3% of Metsämarkka's share capital, corresponding to 32,6 % of its votes. In November 1998 Norvestia made a public limited bid to Metsämarkka's shareholders. At the end of the year, Norvestia owned 23.8% of Neomarkka's share capital and 47.0% of votes.
At the Extraordinary General Meeting of Shareholders on 9 October 1998, the company's name changed to Neomarkka Plc. The company's core fundamentals were amended so that the focus of investment activity is no longer in the forest industry. The company's new Board of Directors decided on a new action plan, according to which investment targets are mainly sought out in vacant infrastructure areas, Utilities sector.
In accordance with the Action Plan adopted in October 1998, earlier investments were realized.
1999 was the company's first full year of operations. Investment activities were targeted at the telephone and municipal sectors. In the municipal sector, investments were mainly directed at the operation of municipal water supply plants.
Norvestia's holding on December 31, 1999 was 28.25% of the shares in Neomarkka and 50.10% of the votes. Neomarkka became a subsidiary of Norvestia, and the company was incorporated into the Havsfrun group in Sweden.
Neomarkka pursued an absolute return in its operations, investing primarily in unlisted stable companies. The main trend was to invest in unlisted Nordic companies in stable infrastructure sectors, such as telecommunications and municipal business. Novalis Plc was established to manage the Neomarkka Group's telecommunications sector investments.
The Annual General Meeting decided to amend the Articles of Association concerning the share capital and the nominal value of the shares and decided to reduce the share capital by reducing the nominal value of the shares from FIM 50 to FIM 4 per share.
The Company held an Extraordinary General Meeting on December 14, 2000, as the Association of Shareholders had called for it to be convened in order to make a decision to submit a special audit. The audit request concerned the work carried out by the company's Swedish employees during 1999 and 2000, compensation paid to work and decision-making in these matters, and public disclosure of these matters to the company. At the Extraordinary General Meeting, the majority considered the inspection unnecessary and opposed the proposal, so the matter fell apart.
Hedge fund investments grew from 2% at the beginning of the year to 36% at the end of the year. The number of Hedge funds increased from one to seven.
Neomarkka's investments were mainly concentrated on hedge funds. During the year, hedge funds' share of net asset value was raised to about one half.
Neomarkka became part of the Kaupthing Group after the owner change in Norvestia Oyj, Neomarkka's parent company. The change was also reflected in the Neomarkka Board, the composition of which was amended by an Extraordinary General Meeting held in October. The policies of the new government meant a more clear focus on hedge fund investments.
Neomarkka moved to the Helsinki Exchanges Main List from the I-list
Norvestia Oyj sold its stake in Neomarkka Plc to Reka Oy on 30 November. (32.49% of the shares and 53.09% of the votes).
Neomarkka's Board of Directors decided on a new strategy that the company is a long-term investment company for industrial companies. The company returned to its roots as an investment company focusing on industrial activity.
Reka Oy increased its holding in Neomarkka and acquired most of the Neomarkka shares owned by Metsäliitto. After the transaction, Reka Oy became the largest shareholder of Neomarkka with 50.75% of the shares.
In June Neomarkka made his first investment and acquired Reka Kaapeli Oy.
As a result of the change in strategy, Neomarkka sold all its direct hedge fund investments and equity and equity funds investments.
In October, Neomarkka invested 30% in Nestor Cables, which manufactures telecommunication cables.
Neomarkka gave up all its high-risk securities.
In August, the company acquired a majority stake in Russian OAO Expokabel to strengthen its local competitive position in Russia and to complement its product range especially in medium voltage cables.
Neomarkka became a conglomerate after acquiring a 30% stake of single-family house manufacturer Finndomo in April. In September, the Group entered another new segment, the manufacture of viscose fiber, when Neomarkka's acquisition of Kuitu Finland's plant in Valkeakoski was confirmed. The company began preparations to re-start operations at the factory that had been bankrupted and shut down in 2008.
In October, Neomarkka changed its name to better reflect the companys new nature as a conglomerate enterprise . Neomarkka was now Neo Industrial Plc.
In June 2012 Neo Industrial gave up its Single-house building segment.
Neo Industrial sold its factories in Russia.