Table of Contents
Investments in the Nordic market
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Investments in Nordic buyout in the first half of the year
The Nordic buyout segment saw a modest increase in the number of transactions compared to the second half of 2023, staying close to historical averages. Growth was primarily driven by a notable increase in the small- and mid-cap segments, offsetting a decline in large-cap transactions. After peaking at record levels during the pandemic, activity in Nordic buyout has stabilized over the past two years, settling below the levels seen in 2021 and the first half of 2022.
While the number of transactions remained relatively modest, the total amount invested surged to a new all-time high. In the first half of the year, EUR 13.1 billion was invested in Nordic buyouts, marking a more than 20 percent increase over the previous peak of EUR 10.7 billion in the first half of 2021. This figure is also over three times the combined investments of the past three half-years. The sharp rise was largely fueled by the acquisition of the Norwegian ICT company, Adevinta (read more about the transaction below).
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€13.1 bn
Amount invested in Nordic buyout deals
in the first half of the year.
The ICT sector made a strong comeback
After being less prominent for buyout investments in the latter half of 2023, technology companies attracted the most investment in the first half of 2024. This rebound was largely driven by firms specializing in software solutions, such as the swedish Hantverksdata and BRP Systems. Meanwhile, activity in the industrials sector declined, and the consumer sector continued its downward trend through early 2024. One possible reason for this shift from consumer and industrial investments toward technology companies may be changing expectations around interest rates. Additionally, optimism surrounding generative AI has likely boosted the appeal of technology companies, as seen in the public market.
Together with the energy sector, ICT and industrials were the only sectors to attract large-cap investments, in line with historical trends in which ICT and industrials consistently represent a substantial share of large-cap deals each year.
Technology companies attracted the most investment in the first half of the year, followed by companies in the industrials sector. Collectively, companies in these two sectors attracted 62 percent of investments in Nordic buyout.
62%
Of buyout investments in companies within
industrials and technology
Technology companies attracted the most investments in the first half of the year, followed by companies in the industrials sector. Combined, companies in these two sectors attracted 62 percent of investments in Nordic buyout.
Large single transactions
Investments that stand out in terms of size include:
| Company | Company description | Country | Investor(s) |
|---|---|---|---|
| Develops immunoassays for life science research. | Sweden | EQT Partners | |
| Online classifieds group for sustainable commerce with more than 25 digital marketplaces. | Norway | Permira Advisors, Blackstone, and General Atlantic | |
| Helps enterprises and organisations to protect their businesses against fire and accidents. | Sweden | Adelis Equity | |
| Quality provider of fish health products and services. | Norway | Summa Equity | |
| Focuses on the commercialization of medicines for rare diseases and specialty care. | Sweden | KKR and Impilo | |
| Establishes connections between buyers and sellers of products and services in the construction and building market. | Sweden | Stirling Square Capital Partners, TA Associates, and Macquarie Capital | |
| Develop and manufacture coating solutions for the protective, decorative, marine, container, industrial and yacht segment. | Denmark | CVC Capital Partners | |
| Ensures the functionality of critical infrastructure. | Norway | Norvestor Equity |
Danish companies attracted more investments
While Swedish companies accounted for the largest share of deals at 35 percent, this represents a notable decrease from both the latter half of 2023, and historical trends. In contrast, Danish buyouts saw a 20 percent increase in the number of investments during the first half of the year, recovering from record lows in the second half of 2023. In the large-cap segment, Norway and Sweden each represented over 40 percent of investments, aligning with historical observations.
Looking at the total amount invested, Norway stands out, accounting for nearly 80 percent of the total. This was driven by the acquisition of Adevinta, one of the largest private equity transactions involving a Norwegian company to date.
In February, a group of investors, including Permira Advisors, Blackstone, and General Atlantic, proposed an acquisition for all outstanding ordinary Class A shares of the Norwegian ICT company Adevinta. The deal valued the company at NOK 141 billion (read more), making it one of the biggest investments made in a Norwegian company by a PE firm. The deal was finalized in May, with the group also acquiring the remaining Class B shares.
Non-Nordic fund managers continued to increase their presence
After a drop in their share of Nordic buyout investments during the pandemic, non-Nordic fund managers made a strong comeback in 2023. This trend continued into the first half of 2024, with international fund managers accounting for nearly 40 percent of all investments — a record high since Argentum began tracking the market in 2008. US and UK fund managers were particularly active, representing 30 percent of all transactions in the first half of the year.
Non-Nordic fund managers play an even more prominent role in the Nordic large-cap segment. Remarkably, in the first half of 2024, all transactions in this segment were conducted exclusively by non-Nordic fund managers. Over the past five years, non-Nordic managers have consistently made up a significant portion of large-cap investments, averaging about 70 percent of deals in the segment. This strong presence is unsurprising, given that only a limited number of Nordic funds have the capital required for transactions of this scale.