LTP Group and Kovanen Logistics join forces in the Finnish food logistics industry
LTP Group has purchased the whole share capital of Kovanen Logistics Oy. The transaction results in two of the leading companies in Finnish food logistics joining forces. As a result of the transaction, LTP will have the resources to and knowledge to further enhance its competitiveness and position in the Finnish food logistics industry.
Following the transaction, LTP’s service offering expands to cover the complete logistics chain from producers to end-customers. By combining the volumes of the two companies, LTP will be able to maintain its high service level and offer ever improving quality to its customers. The combined entity will operate throughout Finland, and its position in the main urban centers of Finland will strengthen.
The Finnish food logistics market is constantly changing and food volumes are getting more fragmented as a result of changing consumer preferences and structural market changes. The number of small and local producers is increasing, goods deliveries are getting more frequent, and the amount of packaging options is increasing, among other factors, which will continue to increase the demand for holistic, efficient and flexible solutions in the food logistics chain.
“We are extremely content to have found the right buyer for Kovanen Logistics,” says Heikki Kovanen, the CEO of Kovanen Yhtiöt Oy (the parent company of Kovanen Logistics Oy). “LTP will continue to develop the combined entity and enable its growth and success. In addition, the companies have shared values and they both strive towards the best possible quality.”
Kovanen Logistics Oy will be a wholly owned subsidiary of LTP Group Oy. The combined entity had pro forma net sales of approximately MEUR 40 in 2016.
”The transaction will provide LTP with an opportunity to better serve its customers’ logistics needs all the way from producers to end-customers,” says Matti Tuominen, the CEO of LTP Group. “As a result of the combined knowledge and volumes of LTP and Kovanen Logistics, we can continue to grow and further enhance our competitiveness.”
”Vaaka Partners is extremely proud to be part of LTP’s journey into a leading company within Finnish food logistics,” says Reijo Grönholm of Vaaka Partners. “In the transaction, we will combine two leading companies in Finnish food logistics, and we see significant potential in the transaction.”
LTP Logistics Oy, Matti Tuominen, tel. +358 40 503 5905
Vaaka Partners, Reijo Grönholm, tel. +358 500 403 057
LTP Group Oy offers supply chain management solutions based on customer needs. Its services include order picking, warehousing, dispatching, and transporting products across Finland at a temperature of 0–3°C. The company’s product range covers meat and processed meat, convenience food, and ready-to-eat food as well as bakery, fish, and dairy products. In 2016, the company’s turnover was over EUR 25 million, and it employed approximately 150 people. For more information, please visit www.ltplogistics.fi