KPY sells Enfo to Tietokeskus, creating Finland’s largest IT service company

The Kuopio-based cooperative KPY has sold its subsidiary Enfo to Tietokeskus in a move that will create Finland’s largest IT service company, employing 800 people across the country. The companies signed an agreement on this transaction on Tuesday, although the details of the purchase price have not been disclosed. Together, the firms report an estimated turnover of around €200 million.

The transaction is subject to approval from the Finnish Competition and Consumer Authority. If the deal is finalized, KPY will become a minority shareholder in Tietokeskus, holding about ten percent of the shares. Additionally, KPY has committed to acquiring the consulting business of Enfo, specifically the shares of the Epical companies.

Enfo has faced financial challenges in recent years, with a reported loss of €7 million in 2022 and an additional loss of over €1 million in 2023. KPY had to guarantee Enfo’s loans in 2023, which affected the KPY group’s ability to pay dividends to its owners last year. KPY has been the main shareholder of Enfo for nearly twenty years.