Millog Oy acquires entire share capital of Virve Tuotteet ja Palvelut Oy
Millog, a critical maintenance provider for societal preparedness and the readiness of the Finnish Defence Forces’ civil operations equipment and systems, has signed a contract for the purchase of the entire share capital of Virve Tuotteet ja Palvelut Oy from Erillisverkot Group. Ownership will be transferred to Millog on 2 January 2020 and Virve Tuotteet ja Palvelut Oy will continue to operate as an independent subsidiary under Millog’s ownership. In connection with the change of ownership, a new CEO will take charge of the company.
The business activities of Virve Tuotteet ja Palvelut Oy include the sale and maintenance of terminal equipment for terrestrial trunked radio (TETRA) networks. It is the authorized distributor and service provider of Airbus radio terminal equipment in Finland. The company was founded in 2007. Its net sales for the previous accounting period amounted to EUR 5.5 million with a staff of 8 employees. The company’s clients include the Finnish Defence Forces, the Finnish police, rescue services, the social and health care sector, the Emergency Response Centre Agency, the Finnish Border Guard and other state and municipal organisations.
The acquisition is in accordance with Millog’s growth strategy which envisions the company expanding its operations into new fields and long-term partnerships. Millog's goal is to continue the established business activities of Virve Tuotteet ja Palvelut Oy and develop them further to meet future customer needs.
Erillisverkot Group is owned solely by the state and its role is to secure society’s critical communications and higher national leadership in any and all circumstances.
“Virve Tuotteet ja Palvelut Oy has thrived in the demanding market for terminal equipment for security actors. The prospects of Erillisverkot Group as a state-owned special assignment company have, however, been limited when it comes to developing its activities in the market through commercial competition. The group's strategic priorities lie mostly in areas where commercial activities do not fulfil the needs of security actors,” Erillisverkot Group CEO Timo Lehtimäki says.
“Virve Tuotteet ja Palvelut Oy’s staff are experts in TETRA terminal equipment and their sales. Our goal, together with Millog, is to develop the company so it can serve its customers in a better and broader capacity than ever before and to secure the availability of our services far into the future,” says Millog Vice President, New Business Areas, Manu Skyttä, who will act as the new CEO of Virve Tuotteet ja Palvelut Oy after the acquisition.
Additional information:
Manu Skyttä, Vice President, New Business Areas, +358 40 099 9822, [email protected]
Timo Lehtimäki, CEO, Erillisverkot Group, +358 50 514 8286, [email protected]
Millog is a leading expert in maintenance, materiel services and life cycle management whose activities are based on long-term partnerships. Our core competence is the comprehensive maintenance and servicing of technical equipment and systems in both normal circumstances and emergency situations. We also serve civil industries for whom national security, security of supply and partnership are critical success factors. Millog Oy is part of Patria Group. The main owners of the company are Patria and Insta Group Oy. Patria owns 61.8 % of Millog.
Erillisverkot Group’s role is to secure society’s critical leadership and information society services under all circumstances. Erillisverkot Group offers services in critical communication, situation management and protection of critical infrastructure to organisations that support the security and functionality of society. Erillisverkot Group is fully owned by the state. The Prime Minister’s Office is responsible for the company’s ownership steering. The company’s largest customers are the Finnish Defence Forces, the Finnish police, rescue services, the social and health care sector, the Emergency Response Centre Agency, the Finnish Border Guard, ministries and other state and municipal operators and companies that are vital to the security of supply.
