Bygghemma Group pays $3.3M for a strategic stake in Furniture1.
Bygghemma Group, an Oskarshamn, Sweden-based retail group, announced the acquisition of 30% of the shares in Furniture1 UAB, a Lithuanian online player in furniture and home furnishings in the Baltic and Eastern Europe.
The deal involves paying SEK 30M ($3.3M) upfront and the option to acquire up to 80% of the shares in the future.
Furniture1, founded in 2008 in Lithuania, is active in Estonia, Latvia, Lithuania, Croatia, Hungary, Bulgaria, Slovenia, Greece and Romania, with 135 employees. The company has shown an annual growth rate of approximately 73% in the last three years and achieved a turnover of approximately SEK 200M ($22M) in September 2017 - August 2018 (rolling 12 months) with a good profitability for the industry.
Bygghemma, led by CEO Mikael Olander, has been the largest player in furniture and home furnishings online in the Nordic region, through the Trademax, Chilli, Furniturebox and Myhome operations.