Digital transformation and sustainability consultancy Knowit AB is acquiring Ascend AB and its sister company Ionic AB. The enterprise value of the two companies initially totals SEK 200 million. Additional consideration can be paid out, conditional upon the EBITDA level for 2022 and 2023 respectively in the acquired entities. The additional consideration is estimated at SEK 50 million, which will also be included in the acquisition balance sheet on the day of acquisition, the companies said.
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Knowit Acquires Ascend and Ionic
Knowit, founded in 1990, is based in Stockholm, Sweden. The company has 3,809 employees listed on LinkedIn. Knowit's areas of expertise include application management, business intelligence, system development, test and quality management, Microsoft, EpiServer, digital marketing, web analytics, digital business transformation, organizational development, strategy, mobile development, management consulting and business consulting.
Ascend, founded in 2014, is based in Stockholm, Sweden. The company has 51 employees listed on LinkedIn. Ascend's areas of expertise include business transformation, management consulting, sales transformation, service transformation and operations transformation.
Ionic, founded in 2019, is based in Stockholm, Sweden. The company has 13 employees listed on LinkedIn. Ionic is an IT consultancy delivering services covering all phases of cloud adoption.
The acquisitions will add around 60 employees in Stockholm, Sweden, to the combined company and bringing a total of about 500 consultants in the Nordic region. Ascend and Ionic will become part of Knowit’s Insight business area and bolster the firm's management consulting offering in business technology and commercial excellence, the companies said. All four founders will remain with the company after the merger.
Knowit Acquires Ascend, Ionic: Executive Perspectives
Carin Strindmark, head of Knowit Insight, commented on the news:
“We are proud and pleased to welcome new colleagues from Ascend and Ionic to us at Knowit Insight. Ascend and the sister company Ionic both strengthen our brand and offer with their high competence and strong client relationships. Knowit’s management consultancy offer and market position are now stronger than ever1) and we are becoming an even more relevant partner to both existing and new clients, while also being a more attractive employer.”
Jonas Nodler, partner and co-founder of Ascend and Ionic, added:
“We are seeing increased demand for management consultancy services closely associated with new technology. Our clients are increasingly asking for support that combines technical and operative knowledge, with an ability to assist at both a strategic and an operative level. We have a clear ambition to continue developing our companies and offering our clients even better support in their crucial transformations. Therefore, it feels like a natural step to become part of a larger context at Knowit. Ascend and Knowit complement each other well and have similar cultures, values, and visions of building a sustainable and humane society. We look forward to becoming part of Knowit, which is on an exciting growth journey,” says
Knowit is no stranger to M&A. In June 2022, Knowit acquired Danish IT consultancy firm Miracle — an open source-focused firm that partners closely with IBM’s Red Hat and Atlassian. The purchase price was approximately US$20.3 million. Knowit also acquired Capacent in September 2021 and Marketing Clinic in July 2022.