Nature of Business
Lekolar is the leading supplier of educational and learning material, furniture, toys, stationery, arts & crafts and playground materials to pre-schools and secondary schools in the Nordics. The company is active in Norway, Denmark, Finland and Sweden. Lekolar is headquartered in Osby, Sweden, and has a purchasing office in Shanghai. The company employs c.280 people.
We led the buyout of Lekolar in February 2007, investing in the largest platform in educational and pedagogical products in the Nordics. We identified the potential for operational improvements and consolidation of the supply chain following the rapid Nordic buy-and-build strategy with the previous owner. We have worked actively to consolidate Lekolar's numerous acquisitions to enable sourcing savings and to upgrade operational KPIs, thereby driving performance and cash generation. We have also upgraded the company’s pricing and sales force capabilities.
Lekolar acquired Leika, the Danish provider of educational products, furniture and playground products to primarily pre-schools, in June 2014. Looking ahead, there is an opportunity to expand the business further as the European industry is set to consolidate which will provide material synergies across purchasing, logistics and marketing/product range management.
Lekolar's management team has been significantly strengthened since our investment with a new CEO, CFO, Supply Chain Director, Marketing Manager, Quality & Environmental Manager and several new country heads, as well as establishing the new purchasing office in Shanghai.
Regulatory notice: This transaction involved a recommendation of 3i Investments plc, advised by 3i Sweden.