Rahva Raamat to be acquired by BaltCap
Ellex team in Estonia, led by partner Ermo Kosk, advised the sale of Rahva Raamat, a leading Estonian book retail and wholesale company, to BaltCap.
BaltCap, the largest private equity fund in the Baltics, is acquiring Estonia’s leading bookseller Rahva Raamat in order to bring its successful concept to foreign markets and make books even more accessible, readable or listenable. The transaction will be finalised subject to clearance by the competition authority.
Viljar Ots, a member of the Rahva Raamat board, said that when the current core of owners bought Rahva Raamat in 2004, they had a vision to become the best bookstore in Europe, and he says that this vision has now been fulfilled. Ots explained that they want to extend the concept and experience they have built up to markets where the current leaders themselves could not yet reach. “It is therefore the right time to hand over the baton and let Rahva Raamat grow even bigger,” he said.
Rahva Raamat is a strategic addition to BaltCap’s recent acquisition of Lithuania’s leading publisher Alma Littera and bookstore chain Pegasas. BaltCap partner Oliver Kullman said the three companies have a common potential.
Rahva Raamat is Estonia’s oldest book retail and wholesale company, with 12 stores in eight Estonian cities, an e-shop, a restaurant Literaat, two cafés and a publisher. In addition, books are supplied to major retail chains, libraries and bookshops.
BaltCap’s buyout fund BPEF III has in its portfolio Ridango, a developer of public transport ticketing systems, meat industry company Krekenavos and Baltic-wide ticketing platform Piletilevi Group. Rahva Raamat is the fund’s fourth investment.
Following the acquisition, Rahva Raamat will continue to be managed by its current management team.