Estonia, EU – Baltic States, Good for Business, Legislation, Markets and Companies, Mergers and take-overs, Technology

After the transaction, Finnkumu Oy will continue to operate under its own name and brand as a wholly-owned subsidiary of Satmatic Oy. By purchasing Finnkumu Oy, the group will increase its market share in Finland as well as elsewhere in Scandinavia and increase the product range.

Simo Puustelli, Managing Director of Satmatic Oy, was appointed Chairman and Endel Palla, Andres Allikmäe, Ülo Merisalu (Managing Director of AS Harju Elekter Elektrotehnika) and Matti Ollila were appointed members of the Management Board of Finnkumu Oy. Matti Ollila will also continue as a Managing Director of Finnkumu Oy.

The transaction took effect on 17 June 2014, which is also when accounts were settled. For the purchase transaction, EUR 6,575,000 was paid. Pursuant to the contract, after the audited annual report is approved, in 2015 an additional 50% of the company’s operating profit in 2014, and in 2016 an additional 40% of the company’s operating profit in 2015 shall be paid to the sellers. The purchase transaction was funded out of the own funds of AS Harju Elekter.

Satmatic Oy is the leading producer of automated industrial equipment and the importer and distributor of the group’s products in Finland. The company’s headquarter located in Ulvila and plants in Ulvila and in Kerava. In 2013, the enterprise’s turnover amounted to EUR 19.7 (2012: 21.3) million, and there are 76 employees working in the enterprise.

Harju Elekter is the leading MV/LV electrical and engineering devices producer in the Baltic States as well as well-known and respected in Scandinavia. Harju Elekter Group includes manufacturers of electrical equipment in Estonia, Finland and Lithuania: AS Harju Elekter Elektrotehnika (100%), Satmatic Oy (100%) and Rifas UAB (63%), as well as the telecommunications products manufacturer AS Harju Elekter Teletehnika (100%) in Estonia.