After Pigu, Lithuania’s largest e-trade company, on Wednesday announced its merger with Poland’s Morele, the CEO of its competitor, Varle, warns that the planned merger is aimed at preparing the new company to be sold off later.
Meanwhile, a digital marketing expert says both companies will benefit from the partnership and their set goals are achievable.
“I believe the transaction will not affect us as Pigu and Morele have worked together for quite some time and have taken the best they could from each other. The ongoing deal was aimed at merging the two companies, raising turnovers and then selling the merged company,” told Marius Butauskas, CEO at Varle.
He also believes the plans by Pigu and Morele to reach a joint turnover of 1 bn euros in five years are unreal and are related to the eventual goal of selling the company.
“When you prepare a company for selling on the stock market or to some fund, you need to paint a very bright and good future as nobody would buy it,” Butauskas claims.
Meanwhile, Vladas Sapranavicius, a digital marketing consultant, told Pigu has exceed expectations since the very launch of its business, and it will be possible for the new group to reach a turnover of 1 bn euros.
In his words, the Pigu-Morele merger might help the companies in the area of logistics and it will have more leverage in talks if suppliers.
