December, 15. 2005
Kaleva Travel Group acquires 100 percent holding in Latvia's second largest travel agency, Via Riga
Kaleva Travel Group has expanded its operations during past two years to all Baltic countries: Estonia (Hermann Travel), Lithuania (Kaleva Travel UAB) and now Latvia. Kaleva Travel Group acquires 100 percent holding of Via Riga SIA with a deal made on Tuesday, 13 December 2005. Companys business activities and operations will continue as usual and the companys name will remain the same.
The acquisition will allow Kaleva Travel, a company of Juuranto Group, to strengthen the base of its business operations according to its strategy. By acquiring Via Riga we strengthen the growth strategy of Kaleva Travel Group as a provider of business travel management and leisure travel services. In March 2004 Kaleva Travel acquired 100 percent holding of Hermann Travel (the second largest travel agency in Estonia) and in November 2004 CWT Lithuania Office (is known today as Kaleva Travel UAB). Our goal is to become this sectors leading service provider also in the Baltic area, says Kaleva Travels Managing Director, Mika Kiljunen.
The most significant reason behind this strategic decision is our desire to provide our customers with truly comprehensive services. Some of our clients have operations in the Baltic area and many have stated the Baltic region as their home market area. This, in turn, means that the travel agency is expected to have strong knowledge and capabilities for overall management in these areas. In the near future, we will provide our clientele with even more uniform travel management and reporting services, adds Kiljunen.
"By acquisition we strengthen our position on our home market, says Managing Director Irena Riekstina from travel agency Via Riga. Kaleva Travel has strong position both in Finland and Baltic area; we further develop our operations for example by offering new travel management services to our customers, adds Irena Riekstina.
About Kaleva Travel
Kaleva Travel is the largest independent travel agency in Finland offering a complete range of services in the business travel and leisure travel sectors. Kaleva Travels largest stockholder is Juuranto Group (www.juuranto.com), the other owners being John Nurminen Group and Kaleva Travels management. Total sale estimate for the financial period 2005-2006 is ¤ 285 million. Kaleva Travel Group has up to 21 offices in 15 different locales in Finland and after acquisition six offices in the Baltic Area (Estonia: Hermann Travel, Lithuania: Kaleva Travel UAB, Latvia: Via Riga). After the acquisition, Kaleva Travel Group will employ over 480 professionals in the travel sector.
About Via Riga
Travel agency Via Riga, founded in 1992, is a travel agency offering a full range of services in corporate travel management and package tours. Being the second largest travel agency in Latvia, Via Riga has operations in Riga. Company employs 22 people and its international affiliates are Carlson Wagonlit Travel (www.carlsonwagonlit.com) and Lufthansa City Center (www.lufthansa-city-center.com). The market share of the company is 20 % and sales estimate for the year 2005 is ¤ 12 million. Company has succeeded well and the sales have increased by 10 % in 2005. Further information about the company via internet: www.viariga.com.
For further information:
Managing Director Mika Kiljunen, Kaleva Travel,
tel. +358 (0) 205 61 5001, mobile: +358- (0)400-815 597,
Managing Director Irena Riekstina, Via Riga Travel Agency
tel. +371 781 2634, e-mail: firstname.lastname@example.org
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