Litorina completes two deals in a week

Nordic private equity firm Litorina Kapital has bought a Swedish waste management company, in its second deal this week.

Nordic buyout firm Litorina Kapital has bought Resta, a Swedish waste management business, in the same week it completed a bolt-on acquisition for mail order business Ateljé Margaretha.

Litorina has acquired about 75 percent of Resta, according to Jesper De Ruvo, the Swedish firm’s chief executive, while the founders will retain a 25 percent stake. Terms were not disclosed.

Stockholm-based Resta had a turnover of Skr 120 million (€13 million; $17 million) in 2006. De Ruvo said he hoped to increase turnover to Skr 300 million by expanding into new regions, including the UK, developing its waste treatment business, and moving into hazardous waste collection.

Explaining the reasons behind the buyout, De Ruvo said: “We had limited financial strength to grow the company, although we are profitable, and we wanted to continue the growth of the businesses.”

Deloitte provided financial services to Litorina while Ohman, a Swedish investment bank, advised the founders.

Earlier this week Litorina bought Ashild, a mail order company supplying women’s clothing to customers aged over 55, as a bolt-on for portfolio company Ateljé Margaretha, another mail-order business. Litorina has acquired a 70 percent stake in the business, with the management and founders owning the remaining shares.

Litorina Kapital was founded in 1998 and targets small to mid-sized companies in the Nordic region.