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Itella buys successfully launched Estonian parcel terminal network from Cleveron

09.07.2010

Itella buys SmartPOST, successfully launched Estonian parcel locker network from Cleveron. From now on, Cleveron will concentrate on its main business on development of parcel terminal soft- and hardware whole solutions and selling it to other countries.

Itella will become the owner of the parcel locker network created in Estonia over the past two years. They will also become the holder of the SmartPOST brand in Estonia. Itella will become the new employer of six employees of SmartPOST. The company providing the service will be called Itella SmartPOST. CLEVERON Ltd is the new name of the company SmartPOST Ltd.

The transaction will in no way affect CLEVERON Ltd's structure of stakeholders, based solely on Estonian capital.

SmartPOST would like to emphasize that this means no change for customers and partners. Above all, the lockers will keep on functioning as usual. The fact that the new owner of the terminals in Estonia is Itella means that the development in Estonia can continue with at an even greater speed.

According to the member of the supervisory board, Peep Kuld, they have reached their first goal. SmartPOST's goal was to prove the success of the concept in Estonia.

Giving up the role of logistics service provider and concentrating on export is a planned step. The main goal for creating a parcel terminal network in Estonia was to support our plans of export. This has been achieved by today. The network has successfully been launched. That is also our main argument when proving that this is a viable business idea. After selling the Estonian network, we can showcase it to potential technology buyers,
said Kuld.

Kuld added that the management will also continue export activities announced before. Earlier this year CLEVERON agreed to provide Russia’s largest privately funded postal company with at least 100 parcel terminals. Negotiations are underway with several other European countries.

Itella has a strong presence in the Estonian market and the consumer parcel business completes the offering. The SmartPOST acquisition will supplement Itella’s service range in Estonia, where Itella already has a strong position through Itella Logistics OÜ and Itella Information AS. Furthermore, Itella companies in Estonia have about 170 employees after this transaction.

No doubt, the service concept developed by CLEVERON is unique, and customers have quickly become familiar with it. We will continue to serve Estonian customers, says Aku Happo, Director of Itella’s Express and Parcel Business.

However, the size of the deal will not be revealed as agreed between the parties.

Background information:

CLEVERON is a technology and logistics company founded on Estonian capital with the goal of making the delivery of goods from internet and shopping catalogues as easy and comfortable as possible. For this reason, CLEVERON has created a network of 38 parcel terminals installed all over Estonia under the brand name SmartPOST. It enables customers to send and receive postal parcels. The service also enables sending parcels all over Europe, which will be then delivered using traditional postal services.

The service has become remarkably popular in Estonia – about 90 000 people have used it.

In May, CLEVERON announced a deal to manufacture parcel terminals for Russia. The first machines will be installed in November. It is planned to install 100 terminals during the first year of cooperation.

Itella Group provides solutions for managing information and product flows. Itella operates in mail communication, information logistics and logistics in northern and central Europe, and in Russia. The Group employs some 30,000 staff and reported net sales of EUR 1,820 million in 2009. Corporate services are delivered under the Itella brand, while the Posti brand is used for services targeted at consumers in Finland. More information on the Group is available at www.itella.fi/group/english

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Tarmo Tamm

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