Tieto completes the acquisition of Norway-based Software Innovation as planned
17 August 2015
Tieto Corporation STOCK EXCHANGE RELEASE 17 August 2015 at 14.00 EET
The Norwegian Competition Authority has approved the acquisition of Software Innovation, which Tieto announced on 25 June. The business operations will be transferred to Tieto today in connection with the transaction closing.
Software Innovation is a leading software company in enterprise content management (ECM) in the Nordic countries, serving both the public and private sectors. The acquisition will strengthen Tieto’s position as the preferred digitalization partner by increasing its capabilities in enterprise content management across the Nordic countries.
“The acquisition of Software Innovation, a recognized market leader in its field, provides attractive growth opportunities as it strengthens Tieto’s presence in Norway andexpands our scalable software-driven business. Furthermore, the acquisition strengthens Tieto’s role, especially in the public sector, as the leading advisor in the cross section of business processes and new technologies," says Kimmo Alkio, President and CEO.
Software Innovation has approximately 350 employees, and in 2014 the company’s net sales amounted to around NOK 364 million (EUR 41 million). As a result of the acquisition, Tieto’s market share in the Nordic enterprise content management business, worth about EUR 350 million, will increase from its current level of around 7% to some 20%. In addition, Tieto sees attractive opportunities to provide Tieto’s broad set of services covering outsourcing, consulting and system integration, as well as other Tieto software products.
The acquisition price of NOK 610 million (EUR 67 million) was paid in cash in connection with the closing.
For further information, please contact: Lasse Heinonen, CFO, tel. +358 50 393 4950, lasse.heinonen(at)tieto.com
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Tieto is the largest IT services company in the Nordics providing full lifecycle IT services. We also provide global product development services for companies in the communications and embedded technologies arena. Through industry insight, technology vision, and innovative thinking, Tieto proactively strives to inspire and engage our customers in finding new ways of accelerating their business.
Building on a strong Nordic heritage, Tieto combines global capabilities with local presence. Headquartered in Helsinki, Finland, Tieto has over 13 000 experts in more than 20 countries. Turnover is approximately EUR 1.5 billion. Tieto’s shares are listed on NASDAQ in Helsinki and Stockholm. www.tieto.com