The Competition Council of Lithuania has officially granted permission for IKEA Forestry Investment to proceed with the total acquisition of several key forestry investment firms, marking a major expansion of the Inter IKEA Group’s raw material holdings in the Baltic region.
The decision allows IKEA Forestry Investment to acquire 100% of the shares in Dasos LT Investment I and Kurzeme Timberland. Through these entities, the Swedish giant will also gain indirect control of Zemgale Timberland, Dasos LT Investment II, and Euroforest 2. Following a review initiated on January 28, 2026, the Council concluded that the transaction “will not create or strengthen a dominant position or significantly restrict competition in the relevant markets.”
Strengthening Regional Supply Chains
This acquisition is a key component of the Inter IKEA Group’s broader strategy to secure responsibly sourced wood for its furniture manufacturing operations. In Lithuania, the group is already a prominent actor, engaged in the retail of furniture and accessories, real estate management, and wood processing.
The transaction integrates several specialized entities into the IKEA value chain. While Dasos LT Investment I, Dasos LT Investment II, and the Latvian-registered Kurzeme and Zemgale Timberland do not currently maintain active operations within Lithuania, Euroforest 2 is an active player in the domestic market, specializing in the sale of roundwood and land leasing.
Regulatory Oversight and Market Thresholds
The Competition Council’s intervention was triggered by the significant scale of the participating entities. Under Lithuanian law, concentrations must be formally notified and permitted if the combined gross revenue of the undertakings exceeds €20 million in the preceding year, provided that at least two of the participants individually generated more than €2 million in turnover.
The Authority’s swift approval suggests that despite the substantial size of the Inter IKEA Group, the specific market for timber resources and land management in Lithuania remains sufficiently diverse. The Council’s assessment focused on ensuring that the removal of these independent investment entities in favor of a vertically integrated producer would not deprive other local wood processors of access to raw materials or lead to unfair pricing.
Commitment to Sustainable Resource Management
This move aligns with IKEA’s global “Forest Positive” agenda, which emphasizes long-term ownership of forestland to drive environmental standards. By taking sole control of these companies, IKEA aims to implement its own rigorous sustainability protocols across the newly acquired hectares.
“This investment further strengthens our commitment to responsible forest management and locally sourced raw materials,” noted Bruno Mariani Piana, Global Forest Investments Manager at Inter IKEA Group, in a recent statement regarding the group’s Baltic strategy. The acquisition is expected to support local economies by increasing regional wood processing and ensuring that forest management remains certified under international standards such as the Forest Stewardship Council (FSC).
The integration of these companies is expected to be finalized within the first half of 2026, solidifying IKEA’s position as one of the most significant private forest owners and managers in the Baltic states.