20 Dec 2022
Investcorp, a leading global alternative investment firm, today announced that it has agreed to make a significant investment to become a majority shareholder in Eficode (“the Company”), a leading global provider of DevOps consulting and managed services. Investcorp will partner with the Company’s founder, Risto Virkkala, and its CEO, Ilari Nurmi, to support Eficode through its next phase of ambitious growth and international expansion. Mr. Virkkala, Mr. Nurmi and the rest of the Eficode management team will continue to be significant shareholders in the Company alongside Investcorp.
Founded in 2005 in Helsinki, Finland, Eficode is a pioneer of DevOps and Agile practices that have transformed how companies across industries develop software. Eficode grew its revenues from €22 million to over €150 million in the last 4 years, and now serves over 1,400 customers. Today, Eficode is present in 10 countries around the world, including Finland, Sweden, Denmark, Germany, Switzerland, the U.K. and the U.S., and employs approximately 600 professionals. Eficode is the partner of choice for many of the world’s leading companies, including Volvo, P&G, Nokia, The Royal Bank of Scotland, OP Financial Group, Vodafone, ABB, Kone, Rovio and Vestas, among others.
Eficode is amongst the most significant Atlassian, GitHub and GitLab partners worldwide, measured by number of certified professionals, partnerships, and acclaimed industry awards.
Daniel Lopez-Cruz, Head of European Private Equity at Investcorp, stated, “We are thrilled to be partnering with Eficode, a leader within the large, fast-growing and resilient DevOps market. Eficode’s services are becoming increasingly important to companies in all industries as they go through digital transformation. Eficode provides mission-critical services that enable companies to meet the digital expectations of their customers, take their R&D capabilities to the next level, improve efficiency and cost management, and maintain their competitive edge. We’re looking forward to working with Risto and Eficode’s talented team to capitalise on the opportunities available to the Company.”
Risto Virkkala, founder of Eficode, added: “It’s great to partner with Investcorp who have a strong track record of supporting founder-led businesses and those in the consultancy and broader professional services sector. Growth in the DevOps space is nowhere close to slowing down, as every company needs to put software development capabilities and software products as their strategic pillars. Now with the backing of Investcorp, we expect to significantly accelerate our growth worldwide to build Eficode to be the leading DevOps services house in the world.”
Ilari Nurmi, CEO of Eficode, added: “We are excited to partner with Investcorp as we enter our next phase of growth. We believe that Investcorp will enable Eficode to further strengthen its position as a leading global provider of DevOps consulting services and managed DevOps platform. Investcorp has the right expertise and experience to support our global expansion strategy, both organically and through further acquisitions. We look forward to being able to help more companies through their digital transformation journeys.”
Investcorp has a history of investing in and successfully growing technology and professional services businesses, with some notable investments including Swedish-based Electronic Health Record software and services provider Cambio; leading global provider of ticketing software solutions Vivaticket; tech-enabled digital sales and marketing solutions platform CloudCare; modern data, technology, and digital transformation consulting firm Resultant (formerly KSM Consulting); leading business advisory firm CrossCountry; and global consulting firm AlixPartners.
As a global investor, Investcorp also has significant experience investing in the Nordics. Current investments in Nordic countries in addition to Cambio include leading telematics solutions provider ABAX, leading manufacturer of premium skiing and cycling apparel and equipment POC, and leading provider of specialized clinical trial services Sanos.
The transaction is subject to customary closing conditions and regulatory approvals and is expected to close in the first quarter of 2023. The terms of the acquisition were not disclosed.