TietoEVRY
Building a one-stop-shop for the Nordic IT industry
Formed in 2010 through the merger of two Norwegian IT companies – EDB Business Partner and ErgoGroup – EVRY, or TietoEVRY as the Company is known following its merger with Tieto in 2019, is a leading IT company in the Nordic region. With close to 24,000 employees, it is a competitive digital services and software company and enjoys a strong local presence across the Nordics. TietoEvry is listed on three stock exchanges: Finland, Norway, and Sweden.
Inspiration
Back in 2014 when the Apax Funds first approached the Company, EVRY was considered to be a unique and hard to replicate business with positive fundamentals yet was undermanaged and had scope for much greater operational improvement. The company also lagged its peers on profitability. Drawing on their considerable experience in the IT services sector, the Apax Funds saw an opportunity to increase performance both organically and through potential M&A opportunities.
The transaction
Following extensive due diligence, the Apax Funds were able to acquire the company in 2015 at a reasonable valuation.
Value creation
- Strengthened the senior management team and the Board: The Apax Funds supported the Company in appointing a new senior management team that complemented and enhanced the CEO’s experience and expertise. The Apax Funds also helped identify accomplished non-executive directors with strong networks in the Nordics.
- Improved profitability: The Apax Funds provided support to the management team including scoping and negotiating an important outsourcing agreement, which returned the company’s Large Enterprise infrastructure business to profitability. Additionally, the Apax Funds helped improve internal reporting and optimise the corporate structure.
- De-listing to deliver transformation: After taking EVRY private in 2015, the Apax Funds helped the Company restructure and improve its business model to focus on core areas, a transformation which would have been very difficult to undertake as a public company.
- Merger with Tieto: In 2019, the Apax Funds supported EVRY’s merger with Tieto, creating TietoEVRY - the largest IT services company in the Nordics.
Realisation
In June 2017 EVRY successfully listed on the Oslo Stock Exchange and, following the merger with Tieto in 2019, the Apax Funds remain a minority shareholder in the combined company, TietoEVRY.
