Loihde received conditional approval for its acquisition

According to Loihte’s press release, the Finnish Competition and Consumer Authority has conditionally approved the acquisition by which Loihde Oyj will buy the entire share capital of BLC Turva Oy.

The condition for accepting the deal is that Loihde sells its local locking business in South Karelia and South Savo provinces and BLC Turva sells its local locking business in Central Finland before the BLC deal is executed.

According to Loihti’s press release, the agency’s decision does not significantly affect the industrial logic of the acquisition or the cost synergy target of more than 3 million euros.

Loihte announced on November 5, 2025 that it had signed a contract Savonlinna’s BLC cooperative with an agreement on the purchase of the entire share capital of BLC Turva Oy. Since both Loihde and BLC Turva are Finland’s largest suppliers of security solutions, the completion of the transaction requires the approval of the Finnish Competition and Consumer Authority.

The share of business activities that are not included in the deal is not decisive

The combined turnover of the businesses to be transferred is less than 10 million euros. The combined turnover of Loihti and BLC Turva in 2025 according to IFRS is approximately EUR 219 million.

“The businesses to be handed over form a fairly small part of the whole resulting from the merger. KKV’s decision only applies to three provinces, and even in them mainly the locking business, i.e. only one part of Loihti’s overall security offering, which also covers security technology solutions as well as cyber security and corporate networks. The importance of KKV’s decision to the industrial logic of the merger and the estimated cost synergies is minor,” Loihti’s CEO Samu Konttinen says in the announcement.

With the acquisition of BLC Turva, Loihte is growing into the Finnish market leader in electronic security technology, structural security, fire safety and sound evacuation solutions.

Loihde still believes, in accordance with its original estimate, that the acquisition will generate annual cost synergy benefits of more than 3 million euros after the implementation of the integration and expects the company’s earnings per share to improve clearly. The deal is also expected to provide significant synergy benefits for more efficient management of inventory through a larger scale and centralized operating model.

The integration project will start after the divestments required by KKV in the second half of 2026. The cost savings resulting from the integration project and other benefits of the acquisition will be realized in stages, and the entire integration project is estimated to be ready by the end of 2028.

The schedule for the implementation of the business transaction between Loihti and BLC Turva is still open, as it can only be implemented when the business transactions required by KKV have been agreed upon. Loihde will inform about the implementation of the acquisition separately and will also update its profit guidance for the year 2026.

The debt-free purchase price of the acquisition is EUR 28 million, of which approximately EUR 7.5 million will be paid in Loihti’s new shares and approximately EUR 20.5 million in cash consideration. The final purchase price is affected by the usual net working capital adjustments made at the time of the transaction.