Redgate Capital’s alternative investments division has acquired the majority of shares in one of the largest locks and related accessories retailer, wholesaler and service provider in Estonia – Luku-Expert OÜ. The former sole owner and CEO of the company Mr. Kaido Sõmer continues with the company as a minority shareholder. The parties have agreed not to disclose the transaction price.
Luku-Expert OÜ is one of the oldest companies in the field – it has 21 years of experience in the locksmith business. It has as strong wholesale unit which sells products mainly to Estonia and the neighbouring countries; and three well-equipped retail stores in Estonia (Tallinn, Pärnu and Viljandi). In addition all clients can purchase goods from the e-shop. More and more clients from abroad use this opportunity. Luku-Expert offers locks and other related accessories from producers such as ABLOY, ASSA, ABUS, AMIG, DORMA, IBFM, ROCA etc. In 2013, the company generated revenues of 2.7 MEUR and a net profit of 274 thousand EUR.
The former sole owner of the company Mr. Kaido Sõmer commented: “After building a strong company it was time to unite with an experienced partner to keep on growing. We have plans to expand and Redgate is a good partner who has a strong team to help us realize these plans”.
Redgate Capital’s Senior Partner Mr. Veikko Maripuu is pleased with the transaction. „The company is a good addition to our portfolio. Luku-Expert is a stable and dignified company with strong financials. It has a broad client base; it has earned the trust of its customers and suppliers. We will continue with the same team and we hope to expand our business in Estonia as well as abroad“, said Mr. Maripuu.
Redgate is interested in Estonian and neighbouring countries’ companies with good growth potential. Veikko Maripuu says that Redgate Capital’s Private Equity division seeks for investments in medium sized enterprises who have plans to grow in the future and wish to have an experienced partner alongside and/or if the company lacks capital for expansion, or whose owners wish to sell the company or expand the ownership for other reasons. Investment capital comes mainly from the Baltic and Scandinavian investors. Redgate actively manages all the investments.
Previously Redgate Capital has acquired a printing services and graphic design company Ecoprint; metal and steel importer and wholesaler Reval Nordic Steel; a building material sector company Põltsamaa Graniit; and a wooden element and log houses producer RPM Group. Redgate made a successful exit from Reval Nordic Steel in 2012 when the company was sold to ELME Metall (part of BLRT Grupp), other companies continue to grow according to the strategy.
Redgate Capital is an investment management and investment banking services group offering top class financial advisory and investment management services in the Baltics. Redgate Capital’s Senior Partners and major owners are Mr Veikko Maripuu, Mr Mart Altvee and Mr Aare Tammemäe.
Veikko Maripuu, Senior Partner
Phone: +372 66 68 200