BaltCap’s EKT acquires Estonia-based street maintenance buisness Jaakson Linnahooldus OÜ
In January 2016, BaltCap invested in Eesti Keskkonnateenused AS (“EKT”) acquiring a 75% ownership. The Baltic private equity house continues to invest in the sector – on June 20, 2016, EKT signed an agreement to obtain 100% ownership in Jaakson Linnahooldus OÜ that is active in Tallinn street maintenance business.
“BaltCap is excited to support EKT Group’s further growth. Local expansion is one of our strategic goals so we are pleased to see that the current deal is a powerful step forward,” said Peeter Saks, Managing Partner at BaltCap and Chairman of the Supervisory Board at EKT.
The CEO of EKT Argo Luude added that the transaction was a logical step for them. “Since our company has a lot of experience in street maintenance from other municipalities, the growth needs to continue in order to stay competitive in our sector. Jaakson Linnahooldus is a well-run company that has proven its worth in the field already for years,” Luude noted.
Jüri Jaakson, the former owner of Jaakson Linnahooldus OÜ admitted that he has built up the company from scratch and put a big part of his life in it over the years. “I decided that now is the time to slow down and leave the company in good hands,” he said.
In this transaction, Jaakson & Ko OÜ was advised by Raidla Ellex law firm and Eesti Keskkonnateenused AS by law firm Eversheds Ots & Co.
The transaction is planned to be completed in summer 2016 and is subject to the approval of the Estonian Competition Authority. The parties have agreed not to disclose the transaction price.
About BaltCap Private Equity Fund II
BaltCap Private Equity Fund II (BPEF II) makes equity investments in innovative companies based in the Baltic region focusing on buy-and-build opportunities. BPEF II was established in cooperation with the European Investment Fund (EIF) involved in the project through the Baltic Innovation Fund (BIF). The BIF is an initiative created by cooperation between the Republic of Estonia, the Republic of Latvia, the Republic of Lithuania and EIF.
EKT and related companies are the leading waste management and municipal services company group in Estonia. EKT’s main activity is collection of municipal waste (MSW). In addition to that, EKT collects secondary raw materials, construction waste and other types of waste. In certain municipalities EKT also provides street maintenance service in winter. The Group services more than 100 thousand customers in Estonia and treats more than 250 thousand tons of waste annually. The Group has 500 employees and its turnover will exceed 27 million euros in 2015.
Jaakson Linnahooldus OÜ
Primarily active in street maintancence sector having a long-term experience. The company’s annual turnover is 3.8 million euros and it employs more than 80 people.
Source : BaltCap Press Release