Nordic e-commerce powerhouse BHG has acquired 97.6% of Scandinavian design e-tailer Nordic Nest, it announced on Sunday (hat tip: Breakit). The deal values Nordic Nest, which was founded in Sweden back in 2002 (under the name Designonline), at approximately €175 million.
The sellers of Nordic Nest include Nordstjernan, Philian Invest, Stella Capital, Jörgen Bödmar, its outgoing board chairman Nicklas Storåkers, as well as a number of smaller shareholders.
Through the acquisition, BHG says the deal "further strengthens its position as the largest online player within home furnishings in the Nordics and creates a platform for an extended product range and growth in additional geographies".
The company is coughing up 1.6 billion Swedish Krona (roughly €150 million at the current exchange rate) for its majority stake in Nordic Nest, the bulk of which will be financing by a new loan facility.
BHG president and CEO, Adam Schatz, comments:
"We are delighted and proud to continue our growth journey together with Nordic Nest and their strong leadership team. Nordic Nest is a fantastic, profitable and fast-growing company – and the strategic fit with BHG is perfect! The businesses complement each other nicely, both with regards to the customer offering and geographic footprint. In addition, the corporate cultures are based on the same values, with the customer and profitable growth at the centre."
CEO Bank Bergström and the management team of Nordic Nest will continue running the business from the small city of Kalmar in Sweden, and will retain ownership in the company.