Acquisition of Indoor Group from Kesko
With its chain concepts, Indoor Group is a leading home furniture and decoration retailer in Finland and Estonia. The group comprises the retail chains Asko and Sotka, the sofa factory Insofa Oy and a subsidiary in Estonia. In 2016, the group achieved a turnover of 187 MEUR and employed ca. 600 persons.
As Kesko aims to concentrate on food and beverage retail, construction and systems as well as vehicle trade according to its new strategy, the possibility of acquisition negotiations concerning Indoor Group were opened.
Our main value creation components were:
- Strategy / growth plan preparation together with the management
- Presenting the case to Private Equity sponsors and negotiating co-operation terms for a Management Buy-Out
- Acquisition and transaction financing negotiations and structuring
The debt-free acquisition price was 67 MEUR, of which 62 MEUR were paid in cash and 5 MEUR by means of a loan granted by Kesko. As result of the transaction and a renewed ownership base, Indoor Group now has even better opportunities for future growth.
Sievi Capital Oyj
Sievi Capital Oyj is a listed (Nasdaq Helsinki) investment company investing in small and medium-sized companies in the Nordics.
Etera was a mutual pension insurance company responsible for an investment property of over six million euros. Etera merged with Ilmarinen Mutual Pension Insurance Company on 1 January 2018.
Three long-term Sotka entrepreneurs and current management:
Jouko Soikkeli, Jani Länsimäki and Timo Hakkarainen.