Why Serious DACH Acquirers Should Be Looking at Finland Right Now

By Lasse Mäkelä, Founder, Larzon Capital

Finland rarely appears on the acquisition radar of Swiss or German strategic buyers. It sits at the top of Europe's digital performance rankings, produces some of the continent's most skilled technology professionals, and offers acquisition multiples broadly in line with the DACH average. But the number of DACH buyers actively competing for quality Finnish targets remains small.

That combination is not going to last.

I have spent the better part of 25 years working across the Nordic and DACH markets, including senior M&A roles at KONE and Consti Group, the acquisition of an Austrian platform (Finnest) during my time as CEO of Invesdor, and advisory work across both geographies. Here is what I see when I look at the Finnish market from a DACH buyer's perspective.

Finland leads Europe in digital adoption, including inside businesses

The European Commission publishes an annual Digital Economy and Society Index (DESI) that tracks how EU member states are performing across connectivity, human capital, integration of digital technology, and digital public services. Finland ranked first in the EU in the most recent edition, with a score of 69.6 against an EU average of 52.3.

The category where Finland stood out most clearly was the integration of digital technology by businesses. Not connectivity. Not public services. Actual business adoption of digital tools, including artificial intelligence and big data analytics, inside Finnish companies.

For an acquirer from Germany or Switzerland looking to buy a company that is already operating with modern systems, clean digital processes, and less integration work ahead of them, this matters. The assumption that Western European companies operate at similar digital maturity levels is simply not accurate. Finnish SMEs have often done the hard work already.

The workforce is genuinely exceptional, and more affordable than you expect

Finland's technology workforce is disproportionately strong for a country of 5.5 million people. The Nokia era produced a generation of engineers with world-class standards in software, hardware, and telecoms. That alumni network seeded companies like Supercell, Wolt, Varjo, Relex Solutions, and Oura. Helsinki's technology ecosystem now attracts international talent at a serious level.

The EF English Proficiency Index 2025, which ranked 123 countries by English language skills, placed Finland in the "very high proficiency" band. For a DACH acquirer, this means post-acquisition integration with Finnish teams is conducted in English without language becoming an operational barrier.

The cost differential with Switzerland in particular is significant. Senior software engineers in Zurich earn between EUR 120,000 and EUR 200,000 per year at the top end of the market. Equivalent talent in Helsinki earns considerably less, while the quality and productivity levels are comparable. For a Swiss company acquiring a Finnish software or technology business, the labour cost structure of what they are buying is meaningfully different from what they are used to at home.

Valuations are competitive, and buyer competition is low

According to Dealsuite's Nordic M&A Monitor published in March 2026, the average EV/EBITDA multiple for transactions in the Nordics stands at 5.5x, compared to 5.5x in the DACH region as of H2 2025. At the aggregate level, the markets are priced similarly.

The important difference is the number of informed buyers competing for the same assets. The DACH M&A market is one of the most active in Europe, with over three million family-owned businesses and a deep ecosystem of PE firms, family offices, and strategic acquirers. In Finland, the informed buyer base for cross-border transactions is considerably smaller. A DACH acquirer who takes the time to understand the Finnish market will often find themselves one of very few credible international bidders for a well-run Finnish SME.

Less competition, at equivalent headline multiples, is a structural advantage. It also means that relationships and reputation matter more in Finland than in markets where sellers have many options. Finnish business culture rewards long-term thinking and honest dealing, both of which sit naturally alongside how many German and Swiss family businesses prefer to operate.

What kinds of Finnish businesses are worth looking at

The sectors where Finnish digital maturity and engineering depth translate most directly into acquisition value include:

Industrial software and automation, where Finnish companies have deep domain expertise from decades of serving engineering-intensive industries. B2B SaaS businesses, where Finnish founders have built scalable products serving international markets from early on. Professional services firms with strong digital delivery capability. And manufacturing companies that have already integrated modern ERP, production analytics, and supply chain tools into their operations, reducing the post-acquisition investment a buyer would otherwise need to make.

The common thread is companies that have already done the digital transformation work that many comparable businesses in Central Europe are still planning to do.

The window is not permanently open

Interest in Nordic acquisition targets from DACH buyers has been growing quietly for several years. The combination of regulatory stability, EU membership, English-language workforce, and high digital readiness is not a secret. What remains under-appreciated is how achievable it is for a first-time Finnish acquirer from DACH to complete a transaction in Finland, and how well the two business cultures can work together once the transaction is closed.

The advantage of being an early mover in any acquisition market is well understood. It applies here.

If you are a Swiss or German business considering international expansion and would like to understand what the Finnish market looks like for your specific sector, I am happy to have a chat about this.

Lasse Mäkelä is the Founder of Larzon Capital, a cross-border M&A advisory firm based in Switzerland, focused on the Nordic-DACH corridor.