Posti Group Corporation and Ropo Holding Sweden AB (“Ropo Capital”) have signed an agreement according to which Ropo Capital will acquire the entire share capital of Posti Messaging AB in Sweden and Posti Messaging AS in Norway (jointly “Posti Messaging Scandinavia”). The parties have agreed not to publish the transaction price.
The divestment of Posti Messaging Scandinavia is in line with Posti’s strategy that is currently been sharpened as part of the annual strategy process. According to this strategy, Posti continues its renewal and focuses on its core businesses. This transaction allows Posti to invest in its growth areas, which are especially the Parcel and eCommerce and Logistics businesses in the Nordic and Baltic Countries. Thanks to the acquisition of Aditro Logistics in spring 2020, Sweden will remain an important core market for Posti.
In Finland, Posti Messaging operations will continue as normal and are not part of this transaction. These operations have synergies with Posti’s other operations, especially with the distribution business, and they continue to form an important part of Posti’s comprehensive service portfolio in Finland.
Posti Messaging Scandinavia is a major provider of high-volume multichannel transaction flows in Sweden and Norway. Their customer base consists both of private companies and public organizations that want to have one supplier handling their invoice and communication flows. In 2019, Posti Messaging Scandinavia’s net sales were some EUR 38 million. It has around 80 employees in Sweden and 20 in Norway. The transaction has no impact on the employment contracts or existing customer relationships of Posti Messaging Scandinavia.
Ropo Capital is an invoice lifecycle services provider driven by strong technological platform. The company’s solutions cover the full value chain of invoicing lifecycle management services, from invoicing and sales ledger management to receivables financing and debt collection. Ropo Capital was established in 2008 and in 2019, company’s net sales were some EUR 57 million and it has over 10,000 customers from SMEs to the largest corporations. The Company employs some 270 professionals in Finland and Sweden.
“We offer our customers a unique service concept that covers the whole value chain of invoice lifecycle management,” says Rickard Westlund, CEO of Ropo Capital. “By combining Posti´s great experience in efficient information logistics with our leading technology and profound expertise in credit management, we renew two traditional industries to generate more value to our customers. We have a strong market position in Finland and a well-known business model. We now look forward to offer our customers similar solutions also in Sweden and Norway.”
The transaction is still subject to the approval of the Swedish competition authority and it is expected to close by the end of 2020.
The transaction is not expected to have an impact on Posti Group’s outlook for 2020.