At the beginning of this year, SIA A-Birojs acquired the business of SIA Baltijas Biroju Serviss. This acquisition will allow to increase the business capacity of A-Birojs, increasing its turnover by 30% in 2022, reaching 12.5 million euros.
The 25% increase in the number of customers expands the market share of A-Birojs, gaining a leading position in the work environment solutions segment.
A-Birojs provides a portfolio of work environment solution services, serving more than 8,500 companies as well as state and municipal institutions on a daily basis.
Artūrs Dombrovskis, a member of the Board of SIA A-Birojs, admits that the transaction with Baltijas Biroja Serviss is a natural step in the company’s development to provide greater value to customers and to realize the company’s strategic goal to become a leader in the work environment solutions segment in Latvia.
This transaction has not only increased the competitiveness of the offered portfolio of services and goods, but also strengthened the market position in the segment of production of office equipment rental, service and printing equipment raw materials, in which “Baltijas Biroju serviss” has been one of the largest players in Latvia.
“Many years of experience and the ability to respond quickly to changes in customer needs have allowed us to strengthen our market position in the work environment solutions segment, showing steady growth in the company’s performance every year. In five years, we have increased our turnover by more than 70%, providing coffee and water equipment rental, corporate gift making and office supplies delivery services to customers throughout Latvia. At the moment, we see that the time is right to start consolidating the participants of the existing market segment, thus ensuring further growth of the company. As one of the next steps in the company’s development, we see opportunities to expand the scope of operations to the Baltic region, moreover, I do not rule out the addition of other market participants to strengthen positions in existing business segments and further develop the portfolio of services offered, “comments A. Dombrovskis.
Meanwhile, Kristaps Konevāls, Chairman of the Board of Baltijas Biroju Serviss, points out that he is satisfied with the transaction: “This transaction is a logical evolution of the business created by Baltijas Biroju Serviss, where the supplier is currently a market-driven need. “
Describing the impact of the Covid-19 pandemic on the workplace solutions segment, A. Dombrovskis points out that in response to changes in the organization of business processes, most companies in the existing segment have successfully adapted to expand their offerings with important categories such as medical and hygiene products. “A-Birojs” has also started a new line of business – the provision of premises cleaning services.
“Despite the shift from office to work in many industries, many companies continued to work full-time or part-time. Although the demand for everyday office goods has decreased, companies have significantly increased their investments in ensuring the hygiene of the work environment and the well-being of employees, as well as in creating remote work solutions for their employees. As employees gradually return to the offices to ensure compliance with the epidemiological requirements of Covid-19 in the workplace, the demand for medical and hygiene products has grown significantly, ”adds A. Dombrovskis.
The transaction between “A-Birojs” and “Baltijas Biroju Serviss” shall be deemed concluded as of February 1 of this year, with A. Dombrovskis, a member of the Board of “A-Birojs”, continuing to perform the duties of the head of the company. The transaction amount is not disclosed.
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