Government approves privatization of Omniva

TALLINN - The government has approved a proposal from the Minister of Regional Affairs and Agriculture to sell the state-owned shares of Omniva plc through a public auction.

According to Sigrid Soomlais, Deputy Secretary General for Regional Development at the Ministry of Regional Affairs and Agriculture, a potential change in ownership will not alter the principles of providing the universal postal service.

"The obligation to provide the universal postal service stems from regulation. The state will continue to have the means to ensure the continuity of the service," Soomlais affirmed.

According to Soomlais, the main reasons for the planned sale are the changed market situation and the decline in the use of postal services. "The volume of traditional postal services continues to decrease, and the company's operations are increasingly tied to the parcel delivery and logistics business in a highly competitive market. The private sector generally has a greater capacity to make investments and develop services," she said.

State ownership in the company has primarily been linked to ensuring the universal postal service and the necessary postal network. In the future, the service will be guaranteed through tenders and regulation, rather than through state ownership.

Over the past five years, the volume of the universal postal service has decreased by more than 75 percent. AS Eesti Post, which operates under the Omniva brand, holds the license for the universal postal service until 2029. The service is provided under the conditions stipulated by law.

Last year, the Omniva group's sales revenue was 154.7 million euros, and its normalized net profit was 1.4 million euros. In the same year, the group handled a total of over 50.3 million parcels. The universal postal service incurred a loss of 2.1 million euros, and its volume decreased by 13 percent year-on-year.

According to law, the provider of the universal postal service is appointed through a public tender for a five-year period. The tender is organized by the Estonian Competition Authority.

Omniva provides the public interest service of developing and managing the nationwide postal network and must ensure the provision of both domestic and international postal services.

According to the owner's expectations, confirmed in December 2025, the company's main strategic goal is to ensure a sustainable and high-quality universal postal service (UPS) for the people of Estonia. As a result of a tender, the company is obligated to provide the UPS in Estonia until 2029.

However, in recent years, the company's focus has clearly shifted towards commerce and logistics services.

In 2025, the universal postal service accounted for only five percent of Omniva's net turnover of 155 million euros, with the majority of profits being generated abroad.

Today, Omniva has grown into one of the most significant logistics groups in the Baltics, with operations extending to more than ten countries outside the region.