Nordic software and digital engineering company Tieto has agreed to sell two software businesses from its Tieto Indtech division to EG, an industry-specific software provider active across the Nordics.
The transaction covers Edlevo, a prominent provider of learning administration software to pre-schools and schools in Sweden and Finland, and HR & Payroll, a specialist provider of human resources and payroll software serving public sector organisations in Sweden, including central government bodies, universities and municipalities.
The cash and debt-free purchase price, representing enterprise value, has been set at €95m, subject to standard closing adjustments. The deal is expected to complete during the second quarter of 2026. In keeping with Tieto’s recently updated capital allocation principles, the company intends to direct the proceeds towards debt reduction and/or capital distributions to shareholders.
Tieto Indtech currently operates as a portfolio of eight distinct software product businesses. As outlined at Tieto’s Capital Markets Day in November 2025, the division has been pursuing a strategy of simplification and sharper focus in order to drive portfolio strength and growth. The two divested businesses collectively generated €37m in revenue and €5m in adjusted operating profit (EBITA), inclusive of group allocations, during 2025. The units together employ approximately 260 people.
Tieto CEO Endre Rangnes said, “We are pleased to have reached this agreement with EG. As a Nordic company focused on industry-specific software products, we are confident that EG will be a good new home for the units to be divested.
“As the units have been operating with great degree of independency within Tieto Indtech, we trust the transition will be smooth and successful for all stakeholders. With this divestment, Tieto Indtech is gaining a more focused portfolio, supporting its growth ambitions.”
EG CEO Mikkel Bardram said, “We are happy to welcome Tieto’s Edlevo and HR & Payroll customers and employees to EG. The acquisitions mark an important expansion for us into the Swedish education and public HR & Payroll markets, as well as the Finnish education market.
“As a Nordic software company, we understand the unique requirements of public sector customers and are committed to developing these solutions with continued focus on digital sovereignty, local expertise and strong innovation based on AI.”
ABG Sundal Collier served as financial adviser to Tieto on the transaction, with Schjødt acting as legal adviser and EY providing due diligence advisory services.
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