Aimed at the expanse in the Baltic States, company Vilniaus Prekyba, which operates retail chain of building materials and household goods Ermitažas, is set to acquire the chain of the same profile Bauhof in Estonia. Vilniaus Prekyba subsidiary signed an agreement with Bauhof owner MyInvest Estonia. The transaction will come into force upon the authorization of the Estonian Competition Authority.
“We are making an important step in realizing the long-cherished “do-it-yourself” trade sector expansion plans both in our country and abroad. We see big opportunities for the Bauhof network. The company provides excellent services for customers of business, retail and e-commerce. It is a solid, well-functioning organization,” said Marijus Kriščiūnas, director of the business development company Ermi Group and the head of company Ermitažas.
According to Marijus Kriščiūnas, the company plans to create a trading and sales network in all three Baltic States. “Bauhof brand remains in Estonia and Ermitažas brand – in Lithuania. There are no plans to make changes in the leadership of both organizations,” said Marijus Kriščiūnas.
“Over the past 15 years, Bauhof has become one of the leaders in the Estonian market for building materials and garden products. We are very pleased and proud of it. The terms of the sale are acceptable to all parties.
Bauhof has now reached a stage of development that we can rely on the company with a calm heart. During the first five months of this year, the company’s turnover increased by 10 percent compared to the same period last year. The sale allows us to start and concentrate on other activities,” said Indrek Fran, Chairman of the Supervisory Board of MyInvest Estonia.
According to M. Kriščiūnas, the merger of Lithuanian and Estonian retail chains will benefit buyers in both countries, as a significant expansion will allow to offer a wider range of products at a more attractive price.