Openbit, a Finnish Tampere based provider of on-device payment and DRM solutions for mobile applications, and Tanla Solutions, Indian telecommunications software and services provider have announced today that Tanla buys 85 % of Openbit for $US 15.81M / EUR 10.2M in cash. The valuation is therefore at EUR 12M, 23.5 times Openbit’s EBITDA (EUR 0.51M) from the fiscal year 2007.
The remaining 15% is still owned by the management and will be acquired by Tanla in two parts, 5% after the first year and 10% after the second. Openbit has been one of the fastest growing companies in Finland in terms of revenue growth, ranking third in the Deloitte’s Finnish Technology Fast 50 list of 2007.
Seems like a potentially very good match for both companies. Openbit should be able to expand their channels and partners faster in Asia and North America, and Tanla gets extensive foothold in Europe.
Congrats to Openbit for the work well done so far!
See Tanla’s press release (PDF) for more information.