EU – Baltic States, Internet, Lithuania, Markets and Companies, Mergers and take-overs, Technology

The Finnish group Kesko said in a statement the deal will allow Kesko Senukai Lithuania to gain a strong foothold in the Baltic countries’ growing ecommerce market.

"The e-commerce market in the Baltics is fast growing and strongly outpacing brick-and-mortar retailing. With this acquisition, we will become the largest omnichannel player in the Baltics and can serve our customers via our comprehensive store network as well as growingly online," Kesko Vice President Jorma Rauhala said.

The transaction is expected to be completed in the second half of this year.

According to the statement, 1A Group's net sales stood at around 41 million euros last 2017.

Finland's Kesko owns 50 percent of Kesko Senukai, with the latter's president Arturas Rakauskas and the chains' founder Augustinas Rakauskas indirectly owning 25 percent each.

Kesko Senukai operates 22 stores in Lithuania, 9 in Latvia, 8 in Estonia and 17 Oma stores in Belarus as well as a successful e-commerce platform.