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Infortar to Acquire Estonia Farmid

Infortar is expanding its operations in the agricultural sector and is acquiring one of Estonia’s largest agricultural companies, Estonia Farmid OÜ.

“Estonia’s greatest natural resources are food, timber, and minerals – these are the pillars of both our current and future economy. Estonia has fertile farmland, and our milk production is among the best in the region. The dairy industry is definitely one of the sectors where we can compete internationally,” said Ain Hanschmidt, CEO of Infortar.

“The economy is set on three pillars – agriculture, industry, and services. In recent years, Infortar has expanded its presence across all three sectors to achieve its ambitions and manage risk. More than that, we have grown to become a market leader in each,” Hanschmidt added.

“Estonia Farmid, one of Estonia’s strongest agricultural companies, is doing well, but further development requires investments and risk-taking on a scale that the current owners no longer consider reasonable. We’re now at a point where the next steps for Estonia Farmid OÜ should be taken by a new, ambitious owner,” said Jaanus Marrandi, Management Board Member of Estonia Farmid OÜ.

“Estonia Farmid is being acquired by one of Estonia’s most prominent and financially strong groups – known for its solid reputation and international reach. As a listed company, Infortar provides us with the confidence that the work done so far, as well as future development and stability, will be ensured,” Marrandi emphasized.

According to the agreements, getting an approval from the Competition Authority and additional operations are preconditions for completion of the transaction.

Estonia Farmid OÜ holds shareholdings in three agricultural companies: Estonia OÜ, Kabala Agro OÜ, and Sõrandu Farm OÜ, collectively employing nearly 150 people. The agricultural group manages a total of 9,400 hectares of arable land in Türi and Järva municipalities, of which over 6,000 hectares are owned by the company. The group’s dairy farms are located in Central Estonia – Oisu, Taikse, and Kabala – with a total of 2,640 dairy cows. The average milk production per cow at the Estonia dairy farm is among the highest in Estonia, reaching 13,300 kilograms annually. In addition to milk production, the company grows 27,000 tons of grains and rapeseed per year. Estonia Farmid OÜ also owns a 40% stake in the Oisu biomethane plant, which helps reduce the carbon footprint associated with milk production.

The transaction, financed by Swedbank, is subject to a non-disclosure agreement regarding the purchase price.

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Q1 Results of 2025

Infortar increased its turnover by 20% in the first quarter of the year compared to the same period last year, reaching €447 million. The group’s total assets nearly doubled to €2.6 billion, while investments tripled to €22 million. In recent years, Infortar has nearly doubled the size of its real estate portfolio and is actively expanding across multiple sectors.

The recording of the webinar presenting the results of the first quarter of 2025 can be viewed here.

Since August 1st of last year, the results of Tallink, a group company, have been consolidated into Infortar’s financial statements. Due to the highly seasonal nature of the maritime transport business, Tallink’s first-quarter loss of €33 million was reflected in Infortar’s own results. An additional impact came from a €1.7 million income tax expense, resulting in a total net loss of €14.6 million for Infortar in the first quarter, of which €4.5 million was attributable to Infortar’s shareholders. The energy business was affected by an exceptionally warm winter and lower consumption, but remained profitable overall. The real estate segment, meanwhile, showed significant year-on-year growth in volumes.
“The economy stands on three pillars – agriculture, industry, and services. In recent years, Infortar has expanded its presence across all three to achieve its goals and diversify risk. Moreover, we have grown into a market leader in each,” said Ain Hanschmidt, CEO Infortar.
“The performance of Tallink had the biggest impact on Infortar’s first-quarter profitability. In addition to typical seasonality, passenger numbers in the first quarter reflected the state of the core markets' economies and low consumer confidence. Still, it is important to note that the most challenging period of the year is now behind Tallink, and the outlook is more optimistic. The energy business was affected by an exceptionally mild winter, lower consumption, and a gas surplus. Nevertheless, the segment remained profitable, primarily due to well-placed investments in gas distribution networks in Latvia and Poland. In real estate, we continued rapid growth – over the past year, we have expanded our portfolio by nearly 50%, becoming one of the largest property owners in the Baltics. Despite a turbulent environment, Infortar continues to grow as one of the largest investment companies on the eastern coast of the Baltic Sea, actively seeking new investment opportunities. Our balance sheet strength is the key indicator of resilience – Infortar's financial position and liquidity remain solid, free liquidity is €153 million enabling us to generate cash and invest. We can also confirm our continued commitment to the stated dividend policy. Diversification across sectors and countries has created a strong platform that provides confidence even in volatile times,” Hanschmidt concluded.

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Baltic Deal of the Year

At the Baltic M&A and Private Equity Forum held in Tallinn on April 22, Elenger was awarded the title of Baltic Deal of the Year for Cross-Border Transactions. Elenger, part of the Infortar investment group, acquired EWE Group’s Polish energy distribution and sales businesses in Western Poland in a transaction valued at €120 million. This marks the largest Estonian investment in Poland and one of the most significant energy sector deals by a Baltic company abroad.

The award highlights Elenger’s strong international growth strategy and Infortar’s capability to execute large-scale, strategically important transactions.