Loxysoft acquires Dolphin Software
Verdane Capital Advisors and Via Venture Partners have over the past five years helped Norwegian IT-company Dolphin Software grow in Scandinavia and Europe.
Swedish Loxysoft new majority owner.
Dolphin Software develops systems and implements tools that help companies respond to customer enquiries in the best possible way.
The company’s roots go back to Norsk Data and it was for a while owned by Telenor. Verdane Capital VI and VII K/S (Verdane funds) invested in Dolphin Software through a portfolio acquisition in 2009.
“The approach to customer service has fundamentally changed over the past ten years. The customer care center used to be viewed as a cost center. Now, it is viewed as a profit center which gives opportunities to strengthen customer loyalty and to drive new sales. Dolphin has been at the forefront of developing new products and systems that enable its customers to communicate through both new and traditional channels, said Arne Simensen, investment manager at Verdane Capital Advisors. “When Verdane funds invested, the goal was to establish Dolphin Software outside of Norway, and we have succeeded with that”, he added.
In 2011, Verdane funds were joined by Via Venture Partners and the funds have since owned 48 per cent each of the company. They have now sold their shares to Loxysoft AB, a Swedish specialist in IT systems for sales management.
“We saw a significant interest in Dolphin Software. The company had a big number of Norwegian business customers, which both other customers and new potential owners noted. Loxysoft was an outstanding owner for the future. The clients would benefit from Dolphin joining a leading Scandinavian group and stand even better equipped to develop the best and most innovative solutions”, commented Jakob Rybak-Andersen, Partner at Via Venture Partners.
Haakon Smeby, CEO at Dolphin, was pleased with the development over the past few years. “Customer service has become a competitive advantage and it is the most important sales channel for many companies. We are well positioned within this trend. Verdane funds and Via Venture Partners have been outstanding technology owners who have helped make Dolphin a more attractive company” he commented. Dolphin has over the past five years enjoyed stable growth and reached a turnover of NOK 62m in 2013. Telenor, Gjensidige, Sparebank 1, Kredinor and Get are amongst the company’s most significant customers in Norway. Dolphin has also delivered a complete solution to Orange Telecom in Switzerland, amongst other customers outside the Nordics.
IRR at over 30%
Dolphin has 40 employees in Norway and Sweden. The parties agreed not to disclose details of the transaction. The investors in Verdane funds and Via Venture Partners funds will see an IRR at over 30% on the investment.
Transaction management: CDI Global Stockholm