Software & ICT services - Nordic sector report - Q1 2025
Our recently published Nordic Q1 Sector Report provides deep insights into M&A activity and key trends within the software and ICT services sectors. The market report covers developments in the first quarter of 2025 and includes analysis of market dynamics, updates on transaction activity and an overview of valuations of listed companies in the sectors.
The report provides valuable insights for investors, business owners and other stakeholders who want to understand and navigate the complex M&A landscape within software and ICT services. Download the report via the link at the bottom of the page and read our summary below.
The Nordic software sector recorded 45 announced transactions in the first quarter of 2025, representing a 40% decline compared to the exceptionally high levels seen in the same period in 2024 and 2021. Cross-border activity remained a key driver, with international buyers responsible for 53% of all deals – broadly consistent with previous quarters. Private equity continued to play a significant role, also accounting for 53% of total transaction volume.
During the first quarter of 2025, the Nordic ICT services sector saw a total of 16 announced M&A transactions. This marks a notable decline of 36% compared to the same period in the previous year, indicating a slowdown in deal activity within the sector. Despite the lower volume, private equity firms and their portfolio companies remained active, accounting for approximately 63% of all transactions—underscoring the continued interest and influence of PE-backed buyers in the ICT services space.
Although M&A activity was modest in the first quarter of the year, we see a general renewed interest from professional investors and foreign buyers. Therefore, we expect the transaction volume for the full year to end at the level of 2024 – or even slightly higher. We also observe (not surprisingly) that the geopolitical challenges are creating some uncertainty, which at the same time increases the focus on companies that can benefit in the short to medium term from the increasing demand for software solutions – especially mission-critical software – with European origin.
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