[ad_1]
Kornelijus Čelutka, partner of BaltCap. Company photo
BaltCap Growth Fund (BGF), the largest private equity fund manager in the Baltic countries, acquired a majority stake in Tradehouse, one of the leading Estonian companies in the wholesale and retail beauty market, for an amount not revealed. The company’s founders, Avo and Angela Kivimaa, remain minority shareholders and members of the supervisory board.
2002 Founded in 2006, Tradehouse has developed a unique multi-channel scheme for the sale of beauty products, which integrates 5 physical stores, a popular online store in Estonia and a professional training center for the beauty industry. The company’s product range is designed for both professional and retail customers.
“As owners and managers, we have worked to make Tradehouse resilient to the challenges of the future. The partnership with BaltCap will help us achieve this goal. I trust your professionalism and e. knowledge of the trade, as well as his experience in operations throughout the Baltic and Nordic region ”, Avo Kivimaa is quoted in the press release.
BaltCap partner Kornelijus Čelutka noted that Tradehouse is a great example of a company that sees future changes and anticipates them.
“Like many others, Tradehouse started its business with large format physical stores, but quickly reaped the benefits of e-commerce and its online store is now the main engine of operations. In comparison,” Tradehouse “is like a cosmetic product” Promo Cash & Carry “with a very strong e-commerce element,” says K. Čelutka.
According to preliminary data, Tradehouse’s sales revenue in 2020 amounted to 20 million. EUR. 2019 the turnover amounted to 17 million. EUR.
According to him, the format of the Tradehouse transaction is common in BaltCap practice: the founders of the company sell shares, retain a minority stake and remain on the board of directors, and then re-realize the security together with the fund. After the transaction, the company is usually run by independent executives who are also motivated by a stake.
Tradehouse plans to expand into Estonia, now part of e. the trade takes place in Finland. BaltCap often uses its acquired companies as a platform for expansion into neighboring markets in the Baltic countries and Scandinavia.
The seller’s financial advisor was PwC and the legal advisor was PwC Legal. The buyer was represented by financial advisor Opinio Finance and legal advisor Ellex Raidla.
This is the sixth acquisition by BaltCap Growth Fund, established in 2017. The fund’s portfolio already includes companies operating in Lithuania, Gemma, Verkter, Livin and the Estonian nursing home chain Viru Haigla. The fund intends to complete a couple of transactions in 2021. at the beginning.
BaltCap has invested in more than 70 companies located in the Baltic countries.
Write a comment
[ad_2]
