Stock Exchange Release
October 1, 2020 at 2 p.m.
Aspo Group subsidiary Telko strengthens its position in the Nordic lubricants market by acquiring Swedish ILS Nordic AB
Telko Ltd, part of the Aspo Group, has acquired Swedish ILS Nordic AB and its subsidiary Autolubes Nordic AB. ILS Nordic is a strategic lubricants distribution partner of BP Castrol in Sweden and Norway. Telko has been a distributor of Castrol products in Finland since 1958.
ILS Nordic serves the Swedish industry, and Autolubes Nordic distributes automotive oils in Sweden and Norway.
The acquisition will increase Telko's net sales in 2021 by approximately EUR 10 million and will improve Telko's relative profitability. As a result of the acquisition, the Nordic countries' share of Telko's net sales will increase to approximately 40%.
“The acquisition accelerates Telko's strategic change. Telko has consistently freed up working capital from low-margin and slow-moving businesses, and focused them on more profitable and more capital-efficient businesses”, said Aki Ojanen, CEO of Aspo Group and Chairman of Telko's Board of Directors.
“Over the past five years, Telko has been actively growing its lubricants business in the Nordic countries. The acquisition announced today brings strong synergies and is a significant step in the growth of Telko’s business and emergence as a leading player in the Nordic lubricants market”, said Mikko Pasanen, Managing Director of Telko.
The lubricant business will become Telko's third major business area alongside plastics and industrial chemicals. Telko has previously reported the lubricants business as part of the chemicals business, but in the future the figures for the automotive chemicals and lubricants business will be reported as their own entity.
For further information, please contact:
Aki Ojanen, CEO of Aspo Group and Chairman of Telko’s Board of Directors,
tel. +358 9 5211, +358 400 106 592, email@example.com
Mikko Pasanen, Managing Director of Telko Ltd,
tel. +358 40 743 6665, firstname.lastname@example.org
Aspo is a conglomerate that owns and develops business operations in the Northern Europe and growth markets focusing on demanding B-to-B customers. Our strong company brands - ESL Shipping, Leipurin, Telko and Kauko - aim to be the market leaders in their sectors. They are responsible for their own operations, customer relationships, and the development of these. Together they generate Aspo's goodwill. Aspo's Group structure and business operations are continually developed without any predefined schedules.