Visma’s IT consulting business with a focus on digital transformation has been part of the Visma Custom Solutions division, and is a leading provider of business-critical IT solutions, consulting services and data-driven technologies, with 2,000 skilled employees in the Nordic region and Lithuania and 8,000 customers in the private and public sector.
With its focus on bespoke and custom software development, this business model differs from the rest Vismagroup, which is centered around SaaS (Software-as-a-Service) and standardized solutions.
The interest in the IT consulting business has been great from several different financial environments over the past few months, which resulted in a closed auction process with a select group of potential buyers. The primary reason for the transaction is that both Visma and the new company can achieve even better growth as two separate companies.
For Visma, the transaction means a pure cultivation of the core business of business-critical cloud-based software for private and public customers in Europe.
“We believe that it is a good solution for all parties, which will enable the IT consulting business to develop even faster and better as an independent company. For Visma, this means an even sharper focus on our core business cloud software in the future as well as additional funds to pursue our ambitious growth strategy, ”says Merete Hverven, CEO of Visma.
CVC is a leading global alternative investment manager with a global network of 25 local offices.
CVC has been active in the Nordic markets for more than 20 years and can demonstrate successful collaboration with a number of companies in the region.
“We are pleased to have the opportunity to invest in and accelerate the growth of the new company, which has had impressive growth under Visma’s ownership. The company has a strong position to continue its growth journey in a market with attractive underlying drivers by delivering large digital acceleration projects across all Nordic countries. We look forward to collaborating with the talented team and accelerating further development, ”says Christoffer Sjøqvist, Senior Managing Director and Head of CVC Denmark, and Leif Lindbäck, Partner and Head of CVC TMT EMEA.
A leading player in the Nordic region
Visma Custom Solutions can show a profitable growth over several years and has increased revenue by 22 percent annually on average over the last five years. Revenue in 2021 was a record 280 million euros, making the company one of the largest digital IT service companies in the Nordic region.
The new company’s projects cover the entire life cycle in software and application development and utilize competencies in GovTech, data & analytics, IT security and cloud services. The company will have 30 offices throughout the Nordic region and in Lithuania and headquarters in Copenhagen.
CVC will support the new company’s existing management and employees in growing and developing its leading market position through both organic growth and future acquisitions under a new brand.
The current division director for Custom Solutions, Carsten Boje Møller, will take over the role of CEO and CEO of the new company.
“It is a fantastic opportunity for us to create a leading Nordic IT consulting company with a focus on digital transformation. I am very excited to have CVC on board as they have a clear ambition to support our strategy and growth ambitions. This has been the most important criterion in choosing the right owner of our new company, and we look forward to working with them to accelerate our growth as an independent company, ”says Carsten Boje Møller.
The financial terms of the transaction have not been disclosed.
Visma continues the cloud journey
Since its inception in 1996, Visma has grown both organically and through acquisitions to become one of Europe’s largest software companies and a market leader in cloud-based accounting systems for corporate customers in Europe.
The group reported a record high turnover of 2.1 billion euros in 2021 after a period of uninterrupted growth of 19 percent annually on average since 2006.
During the same period, EBITDA increased by an average of 24 percent per year and also reached a record high of 590 million euros in 2021.
Visma’s share of revenue on cloud-based services was 81 percent at the end of the first quarter of 2022. The Group’s share of subscription-based revenue, which was 83 percent at the end of the first quarter of this year, is expected to increase after sales.
Source: IT-Kanalen by it-kanalen.dk.
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