Finnish post and logistics group Itella is to acquire the parcel business of SmartPOST, one ofEstonia’s main B2C parcel operators.
SmartPOST has established a share of around 25 % of the Estonian consumer parcel deliverymarket, despite a staff of just six people, through an innovative service concept, wheretransactions are conducted online and parcels are sent and delivered via self-servicing parcelterminals.
Aku Happo, Director of Itella’s Express and Parcel Business, told CEP-Research: “That smallnumber of staff tells you something about how well automated these transactions are.”
He said that Itella would naturally look at whether the company could apply this techology andbusiness model elsewhere in its network.
“We have not really decided yet, but we will analyse this concept – which is really unique andinteresting,” he said.
“First we will focus on the Estonian market, and at expanding there, and then we will lookat whether we can use this concept elsewhere.”
SmartPOST’s client base consists mainly of remote and online trading companies operating inEstonia, and their customers.
Itella said the acquisition would supplement the group’s service range in Estonia, where it saidit already had a strong position through its Itella Logistics and Itella Information companies.
Happo said: “Itella has a strong presence in the Estonian market and the consumer parcelbusiness completes the offering.”
Under the deal, SmartPOST’s customer agreements, personnel, service concept, the SmartPOST brandand name, as well as 38 parcel terminals covering the whole of Estonia, will be transferred toItella to a company called Itella SmartPOST.
Itella companies in Estonia will have about 170 employees after this transaction.
The founders of SmartPOST OÜ will continue to develop and manufacture parcel terminal technologywithin their own separate company.
The two parties said the transaction would not affect SmartPOST’s customers, personnel,suppliers or subcontractors.
Peep Kuld, founder and co-owner of SmartPOST, said: “”We want to concentrate on developingparcel terminal technology, and are satisfied that we have found a strong owner for the Estonianbusiness.”
