Konne Group and Tarkkala Group have merged to form a leading company in forestry by-product logistics in Finland, backed by a majority investment from Sponsor Capital, to enhance service offerings and meet increasing market demands.

Target Information

3J Partners Oy served as the financial advisor for a significant transaction in which the family-owned companies, Konne Group and Tarkkala Group, specializing in logistics services for by-products of the forestry industry, will merge. As part of the deal, private equity firm Sponsor Capital will acquire a majority stake in the combined entity. The key executives from both Tarkkala Group and Konne Group will retain substantial ownership interests in the new organization and will continue to play crucial roles in its management. This deal is subject to approval from competition regulators.

The newly formed company will become a leading player in the logistics of forestry by-products in Finland. Its service offerings will include transportation of forest industry by-products, internal logistics for industrial facilities, and chipping services. The primary clientele consists of major forestry and energy sector companies. The merger is projected to generate over €60 million in revenues in 2024 and employ more than 300 individuals throughout Finland.

Industry Overview in Finland

The forestry sector is a cornerstone of Finland's economy, contributing significantly to its GDP and employment. Finland possesses vast forest resources, facilitating a thriving industry that is globally reco