Published 2nd of May, 2018
On May 2nd 2018, Rusta has completed the acquisition of the department store chain Hong Kong. The Group has 24 department stores in Finland and has a turnover of approximately SEK 1 billion. Through this purchase, Rusta continues its international expansion, while at the same time consolidating its position as the leading low-price chain in the Nordics.
The Hong Kong Group, like Rusta, is active in low-priced domestic and leisure products. Just like Rusta, Hong Kong conducts external trade and is also a Direct Marketing-driven company. Hong Kong is, in other words, the department store chain on the market that is most similar to Rusta.
Following the acquisition, Rusta, together with Hong Kong will have over 150 department stores, 3,000 employees and a turnover of nearly SEK 7 billion during the coming fiscal year.
- This is a great deal for both Rusta and Hong Kong. Together we will be stronger in providing our customers with even lower prices and a broader product range. I strongly believe in the Finnish market and really look forward to starting work with all our new Finnish colleagues. You are all warmly welcome to the Rusta family, says CEO Göran Westerberg.
Bengt-Olov Forsell, Chairman and one of the two founders of Rusta, strongly believes that Rusta and Hong Kong make an excellent match:
- I am very pleased with the acquisition. Our two companies have a similar business philosophy, complementary geographic coverage and a similar product range that will give us significant purchasing benefits. I am very confident that, together, we will be able to create something even better and that Rusta will now become an even stronger player in the Nordic retail market.
At the same time, we are initiating our long-term efforts to integrate the two companies. The main strategy will be to build on both Rusta's and Hong Kong´s strengths.
- We will roll out Rusta's concept and range over time. But we have great respect for the fact that corporate integration processes take time - we will let it take the time it needs. An integration team from both companies has been created, where key functions such as Finance, HR, IT, Business & Range, and Marketing are included. We will continuously inform all employees about the work and the process of integrating staff functions, concludes Göran Westerberg.