Finnish IT services company Tietoevry has completed the sale of its Tech Services business to private-equity firm Agilitas Private Equity for 300 million euros, the company said Tuesday.
The deal, first announced in March, is part of a broader transformation as the company pivots to focus on software and digital engineering and concludes a strategic review of the unit that began in late 2022.
Tietoevry said it will use the proceeds to reduce its outstanding debt.
The purchase price includes 70 million euros in potential earn-out payments based on performance milestones in 2026 and 2027, according to the company.
The transaction also transfers approximately 98 million euros in lease liabilities to the new owner, further lowering Tietoevry's net debt.
"This transaction marks a significant step in Tietoevry’s transformation into a leading market-oriented software and digital engineering company," President and CEO Endre Rangnes said.
The move comes as Tietoevry, under a recently appointed new CEO, navigates a period of restructuring that includes a major cost-cutting program.
Following the divestment, Tietoevry's business will consist of its software units for banking, healthcare and industry, along with its digital engineering arm.
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