3i, an international leader in private equity, has agreed to divest its 13% shareholding in Finnish telecommunications business DNA Oy to Lännen Teletieto Oy, Oulun Puhelin Holding Oyj and Ilmarinen Mutual Pension Insurance Company for an undisclosed sum.

3i first invested in DNA in 2007, backing the planned merger of DNA with five local fixed-line telecommunications operators. During the period of 3i’s investment, the Vantaa-based company integrated its fixed line and mobile businesses and pursued an ambitious growth strategy, most especially in the area of mobile communications. In this time, it almost doubled its mobile subscriber base, increasing the number of mobile service customers by 821,000 to around 1.9 million, a market share of 25%. It further grew revenues from EUR538 million in 2007 to EUR657 million today.

3i worked in partnership with DNA’s management team to assist the company achieve its goal of establishing itself as a leading, national, full-service telecommunications group providing high-quality, state-of-the-art voice, data and mobile communications and television services to private households and businesses throughout Finland. 

Erkki Nikoskelainen of 3i’s Nordic team commented on the transaction: “We are very pleased to have worked so closely with DNA on its exciting journey to become a strongly established competitor in the Finnish telecommunications space. We are impressed with how quickly DNA has strengthened its market position, both in fixed-line and mobile services, and believe the company is optimally positioned to succeed in the next stage of its development.”