Paulig and Vendor join forces in machine and office coffee services
Gustav Paulig Ltd and Oy Vendor Group Ab are intensifying their collaboration in the provision of machine and office coffee services, starting in the beginning of 2010. In a targeted share issue, Gustav Paulig is subscribing a 51% holding in Vendor Group, which will become a Paulig Group company. Vendor Group's Managing Director Erik Wiljanen will retain a 49% holding and he will continue in his post. Paulig's office coffee services and coffee equipment business will be transferred to Vendor Group at the same time.
Vendor Group will become the leading enterprise in the sector in Finland. It will also rise to be the market leader in Estonia. Implementing the transaction will require the approval of the Estonian competition authorities. The merger will permit future deployments in other Baltic countries and the Nordic region as well. In all, the Vendor Group will have roughly 180 employees and net sales of about 20 million euros.
“The sector has good growth prospects. For the past few years, Paulig has actively developed its workplace coffee services, for instance, through acquisitions in Finland and the Baltic countries. Combining forces with the Vendor Group is a natural continuation of this and it provides a good basis for reinforcing our market position in this sector. In addition to natural growth, we are also prepared to boost growth through new acquisitions,” Gustav Paulig Ltd's Managing Director Pekka Pirinen notes.
“We have achieved the market leadership position in Finland by acting as one of the most innovative and diverse service providers in the sector. The corporate reorganisation permits the continuation of Vendor's long-term, strong growth as well as the development of Vendor's international operations,” says the Vendor Group's Managing Director Erik Wiljanen.
Founded in 1969, Oy Vendor Group Ab is a Finnish family company whose business principle is "Good Coffee Out of Home".Vendor provides coffee-making equipment and services for professional applications. The company's main target groups are the HoReCa (Hotel, Restaurant & Catering) sector as well as offices and workplaces. Vendor's equipment is found in almost half of the cafés and restaurants, and one in four of the coffee dispensers supplied to offices is from Vendor. The company supplies more than 3,000 coffee makers annually. Vendor has operations in eight municipalities in Finland and its head office is in the Roihupelto district of Helsinki. Vendor also has operations in Estonia, Lithuania and Latvia as well as Sweden.
GUSTAV PAULIG LTD
Founded in 1876, Gustav Paulig Ltd is a company in the coffee sector, noted for its high-quality brand products. The company's recently completed roastery and offices are in the Vuosaari district of Helsinki. The company supplies its products and services to retailers as well as the HoReCa sector and office customers. The company's best-known brand products are the coffee blends Juhla Mokka and Presidentti. Finland's leasing coffee company also operates in the Baltic and Russian markets. Gustav Paulig Ltd is part of the Paulig Group.