Svensk Markservice (SMS) is one of the leading actors within landscaping. SMS offers services such as grass mowing, tree pruning, snow removal, park upkeep and lighter plant construction to public and private real estate owners
Svensk Markservice (SMS) was founded in 1991 and is one of Sweden’s the leading actors within landscaping. SMS offers services such as grass mowing, tree pruning, snow removal, park upkeep and lighter plant construction to public and private real estate owners. Nalka acquired SMS from LRF in 2010. The company had been a wholly-owned subsidiary to the LRF group since 1992.
During Nalka’s eight years as owner, the operations grew and saw significant change. Amongst other actions, operations was transformed from a local to a regional structure. The company also made large investments were made in competence development and professionalization of customer care resources, specialization, and development of infrastructure, such as an upgrade of the ERP systems.
To strengthen the geographical coverage in Sweden and the already established regional market leadership, three businesses were acquired and integrated between 2013 and 2018 (Vivaldi, FTE Väst and BDX Grönyteskötsel in Luleå and Umeå).
In 2018 the company reached a turnover of SEK 854m, had more than 45 local operational centers, 400+ full-time employees and 500 seasonal co-workers. The company had also fortifited a leading position in mid-sized Swedish cities and select regions and attained high level customer satisfaction.
In November 2018, Nalka Invest divested Svensk Markservice to Green Landscaping.
|Year of Entry||2010|
|Year of Exit||2018|
|Turnover (2010)||SEK 480m|
|Turnover (2018)||SEK 845m|
|Buyer||Green Landscaping Group AB (publ)|
The landscaping market had growth potential as greenery was increasingly prioritized by public, as well as private, property owners.
Furthermore, there was a trend that property owners more often selected specialized and larger landscaping companies for these services, on behalf of smaller and local actors. Our evaluation was that Svensk Markservice, with its existing geographical coverage and competitive offer, was well positioned to, together with a long-term and active owner, take part of this market growth.
New Management Team
Recruited and formalized a headquarter function with a new Management team
From local to regional
Re-organized the business from local to regional by removing one managerial level and creating divisions based on work performed
Strengthening presence in key regions
Acquired and integrated Vivaldi (2013), FTE Väst (2014) and BDX Green (2018) further increasing market presence and regional leadership
Svensk Markservice Resurs
Established a specialized recruitment company, Svensk Markservice Resurs, to oversee the seasonal talent pool and mange internal recruitment
Continuous improvement of operations
Continuous development of professionalism in both customer contact and delivery performance, guided by KPI tracking. SMS also upgraded ERP platform and made significant technology investments and launched a Change Management team to ensure profitable contract deployment and support to underperforming units
New corporate identity and value-based organizational development
“Nalka has been an excellent owner of Svensk Markservice, especially during the transformation of the company that we carried out in recent years, in order to streamline processes and increase profitability and growth for the company both organically and through acquisitions. Nalka is a very knowledgeable and supportive owner with a clear vision of the long term strategy of its holdings."