Tieto acquires Software Innovation from Atlantis Vest and Meteva
Tieto has signed and completed an agreement to acquire Software Innovation, a leading software company in the Enterprise Content Management (ECM) business in the Nordic countries.
Software Innovation is a recognized market leader across the Nordic countries in enterprise content management in both the public and private sectors. The company has consistently gained market share and delivered solid profitability. Software Innovation has approximately 350 employees, and in 2014 the company’s net sales amounted to around NOK 364 million (EUR 41 million) and operating margin (EBIT) to 12.5%. Currently, around 75% of its sales come from Norway and the rest mainly from Sweden and Denmark. The public sector represents around 70% of sales, with the remainder accounted for by large and mid-size enterprises.
"The acquisition of Software Innovation is important to Tieto as this increases our ability to speed up our customers’ digitalization across Nordic countries and provides attractive growth opportunities. This strengthens our role, especially in the public sector, as the leading advisor in the cross section of business processes and new technologies. We warmly welcome our new colleagues from Software Innovation to Tieto in our common pursuit of accelerating Tieto’s wide-ranging renewal, innovation and growth," says Kimmo Alkio, President and CEO, Tieto.
"Our intention regarding the ownership of Software Innovation was to be a long-term owner and to put into effect the strategy plan laid for the period 2014 - 2017. However, we have chosen to accept the offer put forward from Tieto, both because we regard it as attractive financially, and because we strongly believe that Tieto is a good and proper industrial owner for Software Innovation. Tieto's market position can enable significant growth for Software Innovation in line with the company's existing strategies and plans. We look forward to see what Tieto and Software Innovation together can accomplish going forward," says Investment Director in Atlantis Vest and retiring chairman of Software Innovation ; Trond Valvik.
"I am convinced we will create added value for our joint customers and accelerate digitalization in a broader market. There will be good opportunities for our existing and new customers to utilize Tieto’s global delivery and the full scale of competencies in the Nordic countries. I believe that our employees and customers have much to look forward to as Software Innovation becomes part of a larger company,” says Torstein Harildstad, CEO of Software Innovation. Mr Harildstad will continue to be responsible for the Software Innovation business at Tieto.
About Software Innovation
Software Innovation helps organizations manage, share and use information as their most valuable resource. We have 30 years of expertise and experience in developing modern, user-friendly IT solutions that improve and streamline records management, case management and technical document control. Software Innovation is recognized as a leading international actor by companies like Gartner and Microsoft, and our solutions are used by over 700 organizations and 200 000 users. Software Innovation has 350 employees with offices in Copenhagen, Stockholm and Bangalore, and is headquartered in Oslo.
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