Elektroskandia Norge AS, a division of Rexel Group, will be purchased by Kesko subsidiary Onninen. The purchase will enhance Onninen’s standing in technical trade in Norway and expand its expanding contribution to the green transition.
Kesko is continuously working to put its expansion plan into action in Northern Europe, where it is already a dominant player in the building and technical trade industries. In Norway, Kesko is the proprietor of both the building and home improvement retail chain Byggmakker and the technical wholesale establishment Onninen’s. Onninen’s business is expanded in all of its existing client segments as a result of the acquisition of Elektroskandia Norge, which further improves Onninen’s offering to the rapidly expanding utility industry in Norway.
With estimated net sales of around 250 million Euros in 2022, Elektroskandia Norge AS is one of the most important distributors of electrical equipment in Norway. In addition to a highly automated distribution centre close to Oslo, the company has nine retail locations across the country and four sales offices. About 270 skilled workers are employed by the organisation, and their area of expertise is providing services to consumers in the technical sector. The company’s sales through digital channels account for the vast bulk of their total revenue.
“The acquisition of Elektroskandia Norge is a perfect fit for Onninen’s operations in Norway and further accelerates Onninen’s role in accelerating the green transition. Both of these benefits come as a direct result of the transaction. In addition to this, the acquisition presents us with tremendous opportunities for synergy. According to Jorma Rauhala, President of Kesko’s building and technical trade business and Deputy CEO, “We continue implementing our growth plan in building and technical trade, and we pursue expansion both organically and through acquisitions throughout Northern Europe.”
Kesko has developed into one of the most important players in the building and technical sector in Norway, which is recognised as having one of the most robust marketplaces in Northern Europe. Following the conclusion of this acquisition, Kesko’s annual revenue in Norway is expected to surpass €1.5 billion “concludes Rauhala.
The conclusion of the acquisition is dependent on the permission of the regional authority that oversees competition issues. The parties agree to keep the price of the transaction confidential.
Jorma Rauhala, President of the Building and Technical Trade Division and Deputy to the CEO, can be reached at +358 105 322 211 or at jorma.rauhala@kesko.fi for any additional information.
Jukka Erlund is the Executive Vice President and Chief Financial Officer at Kesko. You can contact him at jukka.erlund@kesko.fi or by calling +358 105 322 113.
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