EuroFlorist gets new owners after several years of strong growth on the European flower delivery market
8/29/2007 2:48 AM EST
Litorina Kapital is acquiring a majority of the shares in fast-growing EuroFlorist – Europe’s leading flower delivery service provider. The current principal owner, Accent Equity, is selling all its shares, while founder Peter Jungbeck and the company’s management are retaining shareholdings. EuroFlorist, with head office in Malmö, has subsidiaries in 10 countries in Europe. Turnover for the most recent financial year amounted to about SEK 630 million.
EuroFlorist was founded by Peter Jungbeck in 1982 and was one of the pioneers of online flower delivery, offering this service since 1995. Today EuroFlorist is the leading flower delivery service provider in Europe, with directly affiliated flower shops in Belgium, Denmark, France, the Netherlands, Luxembourg, Norway, Poland, Sweden, Germany and Austria. Flowers are delivered outside the home market in partnership with 54,000 flower shops via the international network Teleflor International.
“Over the past five-year period EuroFlorist has tripled its turnover while also tripling the number of affiliated flower shops, which currently number about 10,000,” says Jan Samuelson at Accent Equity Partners. “During the same period the company has achieved a remarkable increase in profitability. This growth has been made possible by the combination of a driving management and a growth-oriented private equity company.”
“We have made several corporate acquisitions in Europe in recent years,” says Peter Jungbeck, founder and part owner of EuroFlorist. “These acquisitions, which are based on our experience in running an efficient flower delivery service, play a large part in the success we have enjoyed on the market. Growth is important in our business in order to benefit from the economies of scale and thereby increase profitability.
“The sector is currently experiencing vigorous growth due to new sales channels that provide direct contact with the consumer. EuroFlorist has a stable base in this segment, and with the new products and services we intend to introduce during the coming year we envision continued strong growth in the years to come,” Peter Jungbeck continues. “Moreover, there are several additional markets in Europe which we intend to incorporate into our group of companies.”
“Peter Jungbeck and his management team have skilfully built up EuroFlorist into the leading European player in flower delivery service through a consistent focus on renewal of the range of services and international expansion. We look forward to taking the next step in the development of EuroFlorist together with the company’s management. There are great opportunities for further growth geographically, via the Internet and through a broader product range,” says Harold Kaiser, Managing Partner at Litorina Capital Advisors, investment advisor to Litorina Kapital III.