Accent Equity Partners to launch Inteno Group sale

Carl-Johan Kullving and Auri Aittokallio
08 October 2021

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Accent Equity Partners is about to launch a process to exit portfolio company Inteno Group, a Swedish broadband specialist, in a sale guided by Stifel, according to two sources familiar with the situation.

The auction is expected to begin in the early part of Q4 2021, the sources said.

Inteno reported EBITDA of SEK 101m (EUR 9.9m) in 2020, an increase from SEK 30m in 2019. The company booked SEK 727m in revenues in 2020, up from SEK 633m in 2019.

The company, which has been owned by Accent since 2016, is more likely to attract private equity interest rather than strategic buyers, a third source familiar said.

Stockholm-headquartered Inteno provides services for broadband connectivity and the Internet of Things (IoT). It has two business units: Genexis, offering gateways and customer premises equipment for broadband operators; and Iopsys, providing software for the hardware systems.

A private equity executive following the situation said that the company has been growing nicely, but future growth is likely to come outside the Nordic region since the Nordic fibre market is already well-developed.

Given the market's low barriers to entry, some buyers might be cautious over the Genexis business, a fourth source familiar said. However, the company's intellectual property is an advantage, compounded by its loyal client base and good inter-operability between network equipment suppliers, which drives profitability, the same source said.

Accent and Inteno declined to comment. Stifel did not respond to a request for comment.