Tieto Buys EVRY in $1.5 Billion Deal

Nordic IT company EVRY announced this week it is planning to sell to Finnish IT company Tieto in a deal worth $1.5 billion.

Tieto’s goal in the deal is to create a Nordic digital consultancy software offering, cloud solutions, robotics, and other services. The new group is slated to have 24,000 employees and annual revenues of $3.4 billion (€3 billion).

“This combination announced today will create a company well positioned to be a leading provider of digital transformation across the Nordics for the benefit of our customers, employees, shareholders and the society,” said Kimmo Alkio, President and CEO of Tieto. “I believe we will create exciting opportunities for professional and personal growth for employees in both companies – and a strong value proposition for our customers. I foresee a very exciting journey ahead.”

In order to close, the deal requires support from two-thirds of the shareholders in each firm. The deal is expected to close in the last quarter of this year but negotiations may drag into the first quarter of 2020.

The new company will be called TietoEVRY and will serve thousands of clients across 90 countries. Alkio will be CEO of the combined company, while EVRY’s current CEO Per Hove will continue in his role until the deal closes. TietoEVRY will be headquartered in Espoo, Finland.

EVRY certainly has lots of promise. This week’s announcement comes six months after the company landed an eight year, $75 million contract with Handelsbanken in Finland, and seven months after partnering with Bankgirot in a seven-year deal worth $77 million.

EVRY demonstrated its PFM solution, Spendific, at FinovateEurope 2015. EVRY arrives at today’s deal with more than 10,000 customers across the private and public sectors and 8,800 employees across nine countries. The company is listed on the Oslo stock exchange under the ticker “EVRY AS” and has a market capitalization of $1.2 billion.

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EVRY Wins $75 Million Contract

Less than a month after landing a deal worth almost $77 million, Nordic IT company EVRY announced it has inked a $75 million contract with Handelsbanken in Finland.

Under the agreement, which is set to last eight years with an optional two-year extension, EVRY will provide Handelsbanken its complete suite of SaaS core banking and payment solutions, reaching both corporate and private banking customers. This includes internet banking for personal and corporate customers, loan management and back office solutions for Handelsbanken’s employees, and selected card services.

“EVRY’s solution will give us a modern and configurable banking platform with extensive product development capabilities. Modernising our core banking system in this way will enable us to develop more efficient processes and thereby to provide better customer service,” said Nina Arkilahti, CEO of Handelsbanken in Finland.

EVRY has partnered with the Handelsbanken Group in the past. Earlier this year, the company teamed up with Handelsbanken in Norway to launch a wrist-based contactless payments solution. Describing today’s deal, Wiljar Nesse, EVP of financial services at EVRY, named it an “important milestone” for EVRY as it advances the company’s presence in Finland.

EVRY demonstrated its PFM solution, Spendific, at FinovateEurope 2015. With more than 10,000 customers across the private and public sectors and 8,800 employees across nine countries, EVRY is headquartered in Fornebu just outside Oslo. The company is listed on the Oslo stock exchange under the ticker “EVRY AS” and has a market capitalization of $11 billion. Terje Mjøs is CEO.

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EVRY Lands 7-Year Deal Worth $77 Million

Swedish clearing house Bankgirot is outsourcing its IT operations to Nordic tech vendor Evry in a seven-year deal worth $77.1 million (SEK 700 million), writes Tanya Andreasyan of Fintech Futures (Finovate’s sister publication).

Evry says the agreement “will enable Bankgirot to adopt a more dynamic delivery organization and will modernize its technical infrastructure.” The vendor will take responsibility for Bankgirot’s platform operations and will enable the delivery of “simple and efficient payments.” It adds that it “beat strong international competition” to win this contract. The contract can be renewed for up to four years (two years at a time) and also involves 30+ employees of Bankgirot being offered new positions at Evry.

Per Hove, Evry’s new CEO (he was promoted from EVP and head of Evry Norway earlier this month), says his company is pleased Bankgirot “has shown trust” in Evry. “With Evry, we get a strong partner with deep technical and commercial insight that will help us provide quality and efficiency,” explained Bankgirot CEO Jeanette Jäger.

Bankgirot has been operating for nearly 60 years, and processes about six million transactions worth $7.5 billion (SEK 68 billion) daily. It is also behind several fintech and paytech projects in Sweden, including Autogiro, e-invoices, and real-time payments that enable Swish.

Norway-based Evry claims 10,000+ customers across the private and public sectors. “Every day more than five million people in the Nordic region use solutions delivered by Evry,” the company says. The company reported turnover of $1.5 billion (NOK 12.6 billion) in 2017 and has 8,500 employees across nine countries. Among its recent projects is implementing digital workplace services for Norway’s Sparebank 1 Alliance and enabling Google Pay for Norway’s challenger bank Monobank. It has also recently renewed its agreement with DNB for card fraud prevention solutions.

Evry demonstrated its PFM solution, Spendific, at FinovateEurope 2015. Earlier this year, the company teamed up with Handelsbanken to launch a wrist-based contacltess payments solution.

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Evry, Handelsbanken Launch Wristband-based Contactless Payments

Handelsbanken, Norway’s national payment system BankAxept, and Evry have launched contactless payments from micro bank cards in wristbands, reports Antony Peyton of Fintech Futures (sister publication of Finovate).

According to Evry, Handelsbanken’s customers become the first in Norway to be able to pay contactlessly.

Evry said the micro format bank card is so small it can be put into a wristband, bracelet, watchstrap, key ring or other location that the customer wishes.

It works at all terminals that are ready to accept contactless payments. Handelsbanken, BankAxept and Evry are currently testing the new solution out in Norwegian shops.

“You can, for example, have this small waterproof card in a wristband on the beach so you can buy an ice cream as soon as you get out of the water without having to first fetch your wallet or mobile. We therefore think many people will like this solution and will use it on a day-to-day basis”, said Anthony Brady, manager for cards at Handelsbanken.

No PIN code is required for purchases of up to NOK 200 ($25). The payment is made in under a second and is as “secure as using a normal bank card”.

The micro bank cards will be offered to Handelsbanken’s customers later this year.

Handelsbanken has 49 branches and approximately 750 employees. The bank in Norway is part of Svenska Handelsbanken.

The group has 12,000 employees in over 800 branches across more than 20 countries, and was set up in 1871. Its head office is in Stockholm.

According to BankAxept, eight out of every ten card payments made in shops are made using a BankAxept card.

Since it was started in the early 1990s, BankAxept has been owned and managed by Finance Norway.

Evry demonstrated its PFM solution, Spendific, at FinovateEurope 2015. The Norwegian fintech is a leading supplier of IT services for the financial industry in the Nordics, serving more than 100 banks across the Nordics, the Baltics, and the U.K.

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EVRY Announces Five-Year, $18.7 Million Card Deal with Finland’s Aktia Bank

Thanks to a new partnership, EVRY will provide Finland’s Aktia Bank with the “entire value chain for card payments,” including virtual debit and credit cards for the bank’s digital, Aktia Wallet. The agreement is valued at $18.7 million (NOK 150 million) and will last for five years.

Christer Jonsson, SVP of Card for EVRY Financial Services referred to the deal as an expansion of the company’s current relationship with the bank. “Digitalization and new market entrants are creating a need for solutions to be even more personalized and customized,” Jonsson said. “We will help with this through our specialist expertise and thus create digital advantage for Aktia.”

The agreement with Aktia Bank calls for EVRY to deliver everything from physical credit and debit cards to services such as card administration, authorization processing, and transaction monitoring. Virtual cards are also an area of focus for the Finland-based bank, which will be among the first customers of EVRY’s new technology for digitizing cards on mobile devices. “We are working hard to offer new solutions that will make it easier for our customers to manage their finances on a day-to-day basis,” Director of Loans and Cards for Aktia Bank, Anton Tulikoura said, “and this collaboration with EVRY will help accelerate developments in this area.”

Delivering credit and debit cards to more than 100 card issuers in 12 countries, EVRY demonstrated its personal finance solution Spendific at FinovateEurope 2015. Founded in 1962 and headquartered in Oslo, Norway, the company processes up to 250 card transactions per second, issues 25 million cards each year, and monitors more than one billion card transactions every year as part of its fraud mitigation efforts.

Last month, EVRY announced a five-year, IT consulting partnership with Statoil, and extended its IT services agreement with the Confederation of Swedish Enterprise. In August, Danish IT services firm Bankdata chose EVRY’s Cash Management solutions in a $3.75 million (NOK 30 million), three-year deal. And earlier this year, EVRY reported that it would continue IT infrastructure management for Sweden’s central bank, Sveriges Riksbank, for another two years. Björn Ivroth is EVRY’s CEO.