08 February 2017
| Alan Burkitt-Gray
Danish operator TDC has sold its IT outsourcing subsidiary TDC Hosting to a small private equity investor for an undisclosed price.
The purchaser is Copenhagen-based fund Maj Invest Equity,
whose latest annual report says it had assets worth about $85
Maj Invest Equity will take over all 300 employees and other
activities related to customers, suppliers and partnerships in
TDC Hosting, said the companies, adding: "The parties have
agreed that the acquisition price will not be disclosed."
The move is the latest in a series of disposals by TDC. Last
year the company sold its Swedish operation to Tele2 for
€311 million and was reported to have rejected a takeover offer from US private
equity firm Apollo Global Management. Nearly three years ago it
sold its operations in Finland to DNA of
€124 million. Now TDC operates in just two markets,
Denmark and Norway.
Marina Lønning, senior executive
vice president of TDC Business, said: "At TDC Business, we want
to focus on our core business – operator and
integrator solutions – and we have therefore decided
to sell the company. In our view, through divesting the company
we have created more value for TDC Group than we would have
done through our continued ownership of TDC Hosting."
Allan Jakobsen, CEO of TDC Hosting, said: "We look forward to
working with our new owner and look forward to continuing to
serve our customers and partners with cloud-based IT
According to TDC Hosting’s website, the unit has
grown from 50 employees in 2004 to more than 300 today, with
annual sales of around $70 million. The company is
headquartered near Aarhus and has data centres in the Danish
regions of Jutland and Zealand.
Lønning said: "TDC Hosting already operates as an
independent company, which in partnership with TDC Business
provides services to a wide range of Danish enterprises. TDC
Business and TDC Hosting will continue this cooperation, and
are entering into a strategic partnership, and I thus have
every confidence that we are putting our customers in safe
hands with Maj Invest Equity as the new owner of TDC
The companies said that the transaction is conditional on
approval by the Danish competition authorities and is expected
to be completed in the coming months.
Maj Invest Equity,