MB Funds has agreed to acquire a majority ownership in the leading Finnish event management firm TAPAUS. In connection to the MB transaction, TAPAUS acquires a leading Finnish brand activation agency Roof Productions Oy focused on B2C events.
During the past seven years TAPAUS has grown to become the largest event planning and production firm especially in corporate events in Finland. Growth in B2C events was a logical step in TAPAUS’ growth strategy.
“Corporate events have been our largest business area throughout TAPAUS’ history. During the past couple of years, we have sought growth especially in fairs and exhibitions and obtained a solid footprint as a planner and producer of stands and events within fairs for Finnish and international corporates. It was a logical step for us to focus also on a growth in B2C events and brand activation. Acquisition of a reputable company is the most efficient way to obtain growth in this segment”, says Timo Aalto, CEO of TAPAUS.
Net sales of TAPAUS was 23 million euros in 2018 out of which ca. 15% was generated through B2C events. After the acquisition of Roof, share of B2C events in TAPAUS’ net sales increase to 30% and pro forma net sales over 30 million euros.
Roof Productions Oy is a brand activation agency established by CEO Jani Savola in 2006. The company employs ca. 20 persons. Roof has specialized in designing and creating touchpoints between brands and people for companies serving consumers. These touchpoints can be e.g. marketing campaign, stakeholder meeting, launch event, staff party or store promotion. Roof’s net sales have been growing for several years and company’s net sales reached nearly 7 million euros in 2018.
“Together with our employees we have been able to grow and develop Roof’s business to this point where we felt that we require larger resources and new growth boost. TAPAUS felt like a big brother who complements us greatly. Transaction provides operational reliability for our clients and development opportunities for our employees. I believe that our corporate culture fits well with TAPAUS“, says Jani Savola CEO of Roof Productions.
“In Roof, we were especially impressed by the quality of work they provide and their way of working. We noticed that Roof obtained highest client loyalty points in ‘Vuoden Toimisto 2019’ competition which confirmed that Roof operates with same enthusiasm and ambition level than TAPAUS. We know that Roof employees share the same ‘extra mile’ attitude than our employees in meeting and exceeding the client expectations“, states Timo Aalto.
Roof Productions’ employees transfer to TAPAUS’ premises in Autumn 2019. The merger increases the number of TAPAUS’ employees to 80 persons. Roof’s CEO Jani Savola becomes a member of TAPAUS’ management team and operative director at B2C events.
In connection to the Roof transaction, Finnish private equity investor MB Funds becomes a majority shareholder in TAPAUS. The current management continues in their management roles and as significant shareholders of the company. MB Funds will provide financial resources that enable accelerated growth and development of TAPAUS.
Closing of the transaction requires competition authority’s approval and the target is to complete the acquisition as soon as possible.