Triton to sell Puukeskus to Starkki, a leading Finnish chain of builders' merchants.
- Since Triton's acquisition, Puukeskus has developed its product assortment to become a preferred supplier for both small and larger construction companies whilst continuing to serve other wood sector customers
- Starkki and Puukeskus operations are complementary and the combined business is expected to further enhance its customer offering and service to customers
- The personnel of Puukeskus will be transferred to the new group on completion of the sale
- The completion of the transaction is subject to customary regulatory approvals
Helsinki (Finland), 12 February 2014 - Funds advised by Triton ("Triton") today announced the sale of Puukeskus, a leading distributor of wood-based building materials in Finland and the Baltic region, to Starkki.
Starkki will acquire 100% ownership of Puukeskus and the personnel of the company will be transferred to the new group on the completion of the sale. The combined business is expected to offer its customers a broader product assortment and improved services.
Since Triton's acquisition in 2006, the management and board of Puukeskus have executed a number of initiatives to improve the company. Through investments in both existing and new stores and a broadened product assortment, Puukeskus is today a one-stop shop for both smaller and larger construction companies as well as other customers.
"We will hone our business operations by combining the strengths of these two businesses. Starkki's and Puukeskus' operations are complementary and are very well matched, which will lead to improved customer service. The knowledge base and skilled employees in both businesses will enhance the service and product offering for our customers," says Starkki's Managing Director, Juha-Pekka Pöntinen.
"We would like to thank the management team, the employees and all other stakeholders for their contributions to Puukeskus' development. Triton has been the owner of Puukeskus for more than seven years and we view this as a natural point in time for an ownership change to an industrial owner. Puukeskus and Starkki fit well together and we are confident that the combined business has an exciting future ahead. We look forward to continuing our investment activity in Finland, acting as a responsible owner and an agent of positive change in the businesses we partner with," says Peder Prahl, Managing Partner of Triton.
"With this acquisition, we will be able to provide excellent logistics solutions to our customers and branches allowing us to provide greater product availability for our customers. Furthermore, we will be able to enter five new markets and have a strong branch network presence in all large cities across Finland", says CEO Ole Mikael Jensen of DT Group.
The transaction is subject to customary regulatory approvals. The parties have agreed not to disclose the purchase price.
About Puukeskus
Puukeskus is Finland's leading supplier of timber and building materials to trade and general public. The company was founded in 1929 in Helsinki. Puukeskus has a versatile product mix - it offers a wide selection of services for both trade and DIY customers. Puukeskus has a wide network of branches nationwide and every unit boasts professional and service-minded staff. Puukeskus employs approximately 400 professionals, nationwide. In 2013, Puukeskus' net sales exceeded EUR 230 million.
About Starkki
Starkki is a builders' merchants chain carrying a wide and well-assorted product range aimed at professional builders, consumers, homebuilders, industry and distributors through 22 stories in Finland. Starkki has approximately 1,000 employees. Starkki is a division of DT Group. DT Group A/S is the largest retailer and distributor of building materials in the Nordic region. DT Group serves its customers through a finely integrated network of stores. Its customer base is broad, ranging from major contractors, builders and consumers to distributors and industries. DT Group is owned by Wolseley plc - the world's number one distributor of heating and plumbing products to the professional market, and a leading supplier of building materials and services across Europe and North America.
About Triton Partners
Founded in 1997 and owned by its partners, Triton Partners is a leading European mid-market sector-specialist investor. Triton Partners focuses on investing in businesses that provide mission critical goods and services in its three core sectors of Business Services, Industrial Tech, and Healthcare.
Triton Partners has over 150 investment professionals and value creation experts across eleven offices and invests through three complementary “All Weather” strategies: Mid-Market Private Equity, Smaller Mid-Cap Private Equity, and Opportunistic Credit.