On June 18, the Board of Directors of Tieto and EVRY jointly announced the agreement to combine the two companies through a cross-border merger. With combined revenue close to EUR 3 billion and 24,000 professionals, the combined company will be well positioned to create digital advantages for Nordic enterprises and society. The transaction will be highly complementary from a geographical, offering and customer perspective, and is expected to create value for shareholders through targeted cost synergies of around EUR 75 million annually.
 
Under the financial terms of the transaction, the shareholders in EVRY will receive 0.12 new shares in Tieto and NOK 5.28 in cash for each share held in EVRY. The combined enterprise value of Tieto and EVRY based on 17 June 2019 closing share prices is NOK 38.7 billion[1] (EUR 3.96bn). The total consideration to EVRY shareholders is NOK 1,950 million (EUR 199m) in cash and 37.5% of the equity in the combined company.
 
The TMT team at ABGSC has maintained a long-term client relationship to EVRY, assisting the company in all landmark transactions, including: 
1.     establishment of EVRY through the merger of EDB and Ergo Group in 2010;
2.     exclusive financial advisor to EVRY in the sale to Apax Partners in 2014;
3.     joint global coordinator in the re-introduction to the Oslo Stock Exchange in 2017;
4.     exclusive financial advisor to EVRY in the combination with Tieto in 2019.
 

 

Published: 18 Jun, 2019