Finland’s Nebula serves 44,000 SME, SoHo customers.

Telia Company on Monday agreed to buy Finnish cloud services provider Nebula in a deal valuing the company at €165 million.

Nebula offers automated, standardised cloud infrastructure targeted at the SME and SoHo segment, and currently serves 44,000 customers. It also offers consultancy services. In March, it acquired Web hosting provider Sigmatic.

Nebula generated revenue of €35.1 million and adjusted EBITDA of €13.5 million in 2016.

"I’m happy to welcome Nebula’s employees and its customers to Telia Company," said Telia CEO Johan Dennelind, in a statement. "This is another important step in developing the customer experience by adding a complete portfolio of cost efficient and high level automated services. We are looking forward to working with and learning from Nebula’s very competent staff."

Telia expects the acquisition to generate €10 million in synergies within three years from a combination of cross sales and production cost savings.

In 2018, Telia said it plans to launch one of Finland’s largest open data centres, to provide digitalisation and infrastructure services.

The deal is subject to approval from Finnish competition authorities; it is expected to close in the third quarter.