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Tieto announces a recommended public offer for Avega, a Swedish consulting company

23 October 2017

Tieto Corporation        Stock Exchange Release     23 October 2017        9.45 EET

This press release may not be published or otherwise distributed, in whole or in part, in or into, directly or indirectly, Australia, Hong Kong, Japan, Canada, New Zeeland, South Africa or the USA, or any other jurisdiction where making the public offer or the distribution of this press release would be in conflict with any applicable law or regulation or would require any additional offer documents or registrations or other measures in addition to those required by Swedish law.

Tieto announces a recommended public offer for Avega, a Swedish consulting company – aims to strengthen its position as the preferred business renewal partner

Tieto Group, through its Swedish subsidiary, announces a recommended cash offer for all shares in Avega Group AB (publ.). The acquisition will accelerate Tieto’s growth businesses and strengthen its footprint in the Swedish consulting-led market. Avega is planned to take a lead role in driving Tieto’s business renewal agenda for customers in Sweden. Avega’s customer base consists of a balanced and attractive customer portfolio. The company has approximately 350 employees and its net sales was EUR 45.2 million (SEK 428 million) in 2016.

Avega’s strong consulting capabilities and competences in digital transformation are an asset in the Swedish consulting-led market. Additionally, the transaction will accelerate Tieto’s growth businesses, such as Customer Experience Management, one of the fastest growing areas in IT services. Thereby, the acquisition will provide Tieto with the opportunity to accelerate its broad service and software portfolio and support the company’s objective of becoming the preferred advisory and modernization partner in Sweden.

“We look forward to warmly inviting Avega colleagues to Tieto and jointly further develop our consulting-led business in Sweden – and across the Nordics. The acquisition will enable us to provide customers with extensive services covering consulting, industry software and managed services. This is a logical step in our strategy of aiming to accelerate our role as the preferred partner for business renewal for our customers,” says Kimmo Alkio, Tieto’s President and CEO.

The Swedish consulting and implementation market is expected to grow annually by 5–8% in the coming years and Tieto and Avega together are anticipated to drive growth in line with this service segment, outperforming the Swedish IT services market on average.   

Avega’s B shares are listed on Nasdaq Stockholm. The retail sector represents 30% and the manufacturing sector 21% of Avega’s sales, with the remainder accounted for by customers in the financial services, telecom, public and logistics sectors. The company’s growth and profitability contribute to Tieto’s ambitions. In January–June 2017, Avega’s net sales growth was strong at 9% and operating margin (EBIT) was 10.7% (9.4%). In 2016, operating margin (EBIT) was 8.9%. Based on the offer, the transaction is expected to be value accretive to Tieto.

It is anticipated that the transaction will be concluded by the end of 2017. It is Tieto’s intention that Avega will form the core for Tieto’s Business Consulting and Implementation in Sweden and it will externally be reported within Tieto’s Business Consulting and Implementation service line.

Completion of the public offer is conditional on, among other things, clearance from the Swedish Competition Authority. For detailed information on the public offer, see

Further information


Lasse Heinonen, CFO, tel. +358 2072 66329, +358 50 393 4950


Kia Haring

Head of Global Communications and Corporate Responsibility, +358 40 765 3700

Tieto aims to capture the significant opportunities of the data-driven world and turn them into lifelong value for people, business and society. We aim to be customers’ first choice for business renewal by combining our software and services capabilities with a strong drive for co-innovation and ecosystems.

Headquartered in Finland, Tieto has over 13 000 experts in close to 20 countries. Tieto’s turnover is approximately EUR 1.5 billion and shares listed on NASDAQ in Helsinki and Stockholm.


This press release is for general information only and does not constitute or form part of any offer to purchase, or any solicitation of an offer to sell or any invitation to participate. Tieto Oyj has not made and will not make any such offer, solicitation or invitation. Investors may accept the public offer for the shares only on the basis of the information provided in a public offer documentation when available.

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