Consolidation is on the cards in the Swedish wireless market and this month sees a major development in the sector with mobile infrastructure provider, XcelleNet’s acquisition of wireless software firm, Ehand. The deal marks an exit for the company’s shareholders b-business partners and Telenor Venture. Details of the transaction were undisclosed.
“I see this transaction as a sign that the market for investments and exits is starting to open up again,” said Hans-Dieter Koch, CEO of b-business partners. “I feel confident when I look to the future and I believe we will see increasing activity within the venture capital arena.”
b-business and Telenor Venture invested SEK50 million in Ehand a year ago. The company, based in Stockholm was founded in 1999 and will provide XcelleNet with a foothold in a niche that is a hotbed for mobile device development.
XcelleNet will continue Ehand’s strategy in Sweden to provide the most comprehensive solution for the mobile infrastructure market. As a result of the acquisition, XcelleNet will extend its European sales and business development presence throughout the Scandinavian market.