19.11.2014

After the years of privatization, the state-owned Tartu Õlletehas was having hard times – its market share had diminished to a great extent and the main competitor, Saku held a strong position.

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In 1995, Magnum Konsuumer Ltd, a subsidiary of an Estonian pharmaceutical company Magnum Medical acquired Tartu Õlletehas. The new owners started to modernize the company and were looking for a strategic foreign investor. In 1995 over 30 million kroons (nearly 2 million Euros) were invested, and another 50 million kroons (3.2 million Euros) were invested a year later. New wort separation and filtration equipment as well as beer fermentation tanks and the first pasteurizer were bought. The new PET-bottle filling line made it possible to produce lemonade, Värska and long drinks in plastic bottles.

In June 1996 Finnish brewery Olvi Oyj acquired 15% of Tartu Õlletehas shares. After hefty investments, Olvi Oyj bought the remanining 85% of Tartu Õlletehas shares on September 15, 1997, worth 52 million Finnish marks (8.74 million Euros). In addition, Olvi Oyj also bought the Saare Õlu brewery. The market share of the two acquired companies combined was about 25%.