Internetstores, a German-based online retailer of bicycles and outdoor products, has signed an agreement for the acquisition of a Swedish e-tailer, Addnature, for an enterprise value of around 230 million Swedish kronor (€26.5m-$34.5m). Most of the proceeds will be reinvested into the combined company. The takeover is being financed by a new capital injection by the EQT Expansion Capital II fund, which has a minority stake in Internetstores.

The addition of Addnature, which has annual sales of about SEK230 million (€26.5m-$34.5m) is expected to lead to a total turnover of around SEK600 million (€69.0m-$90.0m) for Internetstores this year.

The merger will allow Internetstores to enter the Nordic online market for bicycles and provide Addnature with online marketing expertise for its further international expansion. The respective product portfolios will be expanded and customers will be given access to a broader offering and new product categories.

Addnature is the largest independent online retailer specializing in outdoor products in Sweden. While it delivers products all over Europe, 95 percent of its sales are still in the country and 75 percent come from its online store.

At the end of 2011, as we have already reported, another Swedish outdoor e-tailer, Outnet, acquired a competitor, Get Out, establishing a joint platform that generated an annual turnover of more than SEK70 million (€8.1m-$10.5m). Unlike Addnature, Outnet diversified its distribution by setting up operations in Denmark, Norway and Finland between 2010 and 2011.