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Friday, 29.03.2024, 14:11
Lithuania's Vilniaus Prekyba concludes purchase of Estonia's DIY retailer Bauhof
The sales
contract between Myinvest and Vilniaus Prekyba's subsidiary Ermi Group was signed mid-July,
according to which Ermi, the
subsidiary established for the transaction, would purchase the Bauhof chain. The parties will not
disclose the cost of the transaction, but according to Lithuanian business
daily Verslo Zinios, the sales price
is around 35 mln euros.
The
business objective of Ermi Group is
to establish an Estonian construction material and household goods retail chain
in all counties and their hubs. The company is also planning to harmonize the
activity of UAB Ermitazas and
that in Estonia in internet trade, logistics and procuring goods. Bauhof is suitable for acquisition for
achieving these goals.
Ermi Group has no retail stores in Estonia and lack a
geographic overlap with Bauhof 's
existing retail stores. Bauhof is a
company that has proven itself on the construction material market and its
acquisition will give Ermi Group a
competitiveness for operating in the construction material and household goods
sale segment.
Vilniaus Prekyba is a Lithuanian business and trade
group, which owns the Euroapotheca pharmacy
chain, the construction retail chain Ermitazas,
Maxima Grupp and Akropolis Grupp. Vilniaus
Prekyba also operates the activity of several companies active in the field
of real estate development and rent companies in the Baltics, Poland, Bulgaria,
Ukraine and Sweden.
Bauhof is a company active on the Estonian
construction retail market, the company's owner at present is Myinvest Grupp. The company's revenue in
2017 was 97 mln euros and net profit totaled 3.1 mln euros. Bauhof has 13 stores in Estonia and the
company employs 450 people.