KPY plans an initial public offering and listing on the Nasdaq First North Finland marketplace
KPY osk (“KPY”), a Finnish value-based cooperative and modern investment company aiming to create value for its owners and promote societal vitality by strengthening companies’ competitiveness, growth, profitability, and renewal through active ownership, is planning an initial public offering (“IPO”) and the listing of its shares (osuudet) on the multilateral Nasdaq First North Growth Market Finland marketplace maintained by Nasdaq Helsinki Ltd (“Listing”).
The objective of the planned Listing and IPO is to support the implementation of KPY’s strategy through three investment portfolios — infrastructure, private equity, and balance sheet investments — to broaden KPY’s ownership base, improve the liquidity of KPY’s shares, and enable their secure trading. The Listing and increased liquidity would also enable more efficient use of shares as consideration in potential acquisitions. The Listing is also expected to improve KPY’s brand awareness not only among potential investment targets but also among the wider public.
The planned IPO consists exclusively of new shares issued by KPY. The funds raised in the IPO are intended to be used for anchor investments in funds, development projects for existing infrastructure and balance sheet investment targets, as well as the expansion of fund operations and working capital. KPY’s current owners will not sell their shares in connection with the IPO.
KPY in brief
KPY is a value-based cooperative and modern investment company founded in Finland in 1883, owned by approximately 19,000 shareholders. KPY’s broad ownership base is explained by its history as a regional telephone association. KPY’s goal is to create value for its owners and promote societal vitality by strengthening companies’ competitiveness, growth, profitability, and renewal through active ownership. KPY makes investments throughout Finland, and its target companies’ operations span several industries both in Finland and internationally.
The KPY Group consists of the parent company KPY and its owned subsidiaries and associates. The Net Asset Value (NAV) of KPY’s assets was EUR 245.1 million as of March 31, 2026. In 2025, the KPY Group’s revenue was EUR 167.4 million, operating profit was EUR 14.8 million, and adjusted operating profit was EUR 9.0 million[1].
KPY’s Strategy
KPY’s objective is the long-term growth of the value of its holdings and enabling sustainable vitality for growing Finnish companies. KPY implements its strategy through three investment portfolios: infrastructure, private equity, and balance sheet investments.
Infrastructure Portfolio
The infrastructure portfolio currently consists of KPY’s subsidiary Novapolis, which as of the date of this release is also the KPY Group’s most significant asset. Novapolis will continue to be a key part of KPY’s infrastructure portfolio, and KPY is investing in the company’s growth. In the future, KPY aims to establish funds focusing on infrastructure investments, where KPY would act as an anchor investor. Infrastructure investments are intended to be carried out primarily through infrastructure funds in the future.
With infrastructure investments, KPY seeks stable cash flow, which in turn would enable the distribution of a stable cooperative interest (osuuskorko) to KPY’s owners. In the infrastructure portfolio, KPY is interested in, for example, infrastructure-related companies, energy, battery, and network projects, as well as business operating environments. Regarding new investments, KPY targets single investments of approximately EUR 10–40 million. The investment strategy of KPY’s infrastructure portfolio is stable cash flow and long-term value creation.
Private Equity Portfolio
The private equity portfolio currently consists of the private equity firm Sentica, and investments in the private equity portfolio are intended to be executed through Sentica. Investments focus primarily on medium-sized domestic companies with growth ambitions and a proven business model. Regarding new investments, Sentica targets single investments of approximately EUR 10–40 million. The goal is long-term appreciation in value, which is intended to be realized primarily in connection with exits. The fund structure brings diversification to KPY’s investments as well as income streams in the form of management fees and potential performance fees received by Sentica.
Balance Sheet Investment Portfolio
KPY’s balance sheet investment portfolio includes the portfolio companies Voimatel, Epical, Aurilo, Gebwell, and Osuma Henkilöstöpalvelut. KPY’s goal is to develop the companies in its balance sheet investment portfolio, increase their value, and then exit them in a controlled manner within approximately the next five years. In the future, KPY will invest from its balance sheet into infrastructure and private equity funds managed by an alternative investment fund manager in which KPY acts as a majority owner. Regarding fund investments, KPY’s target level for investment commitments is approximately EUR 10–50 million.
With balance sheet investments, KPY seeks returns through both value appreciation and cash flow. Investment returns expected from current balance sheet exits are planned to be used for new investments, in addition to which they could enable the distribution of additional cooperative interest to KPY’s owners.
KPY’s Key Strengths
In the view of KPY’s management, the following factors in particular are its key strengths and provide it with a competitive advantage:
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Enabler of company growth: At the core of KPY’s investment activities are long-term ownership and cooperation with the management and other owners of target companies to enable efficient value creation.
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Diversified investment strategy in alternative asset classes: KPY’s investment strategy is based on a diversified investment portfolio emphasizing alternative asset classes and unlisted companies.
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Clear value creation model: KPY and Sentica work in close partnership with their companies. Ownership is based on trust, open dialogue, and a clear common goal, with determined actions taken to achieve it.
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Strong private equity business as a growth accelerator: Cooperation with the private equity investor Sentica provides access to a wide flow of investment opportunities, deep industry expertise, and extensive domestic and international networks.
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Business model to support shareholder value growth, cooperative interest, and additional profit distribution opportunities: KPY’s business model aims for significant growth in shareholder value and the regular payment of a stable cooperative interest. Shareholder value is sought to be increased through the appreciation of KPY’s investments. The ability to pay a regular cooperative interest is supported especially by Novapolis’s business profile aiming for stable cash flow. In addition, private equity and balance sheet investment activities create opportunities for additional profit distributions in connection with successful exits. With this combination, KPY aims to offer investors growth in shareholder value, a stable annual return, and the possibility of additional returns in the long term.
Juha Yrjänheikki, Chairman of the Board of KPY:
“Listing and the resulting trading of shares for the current approximately 19,000 shareholders has been a long-term goal for KPY. The purpose of the planned initial public offering is to further broaden KPY’s ownership base, support the implementation of KPY’s strategy, and improve the liquidity of the shares. We believe that the planned listing will also improve KPY’s brand awareness not only among potential investment targets but also among the wider public.”
Anssi Lehikoinen, CEO of KPY:
“We want to build strong growth stories. We believe that company value is created by effectively combining expertise and capital. Strengthening business competitiveness requires the courage to renew and the ability to build new concepts. We carry out this work with our portfolio companies over the long term and thus aim for value creation for our owners. The idea of continuous development is also strongly reflected in KPY, which has renewed itself over time and today operates as a modern investment company with a broad impact across Finland.”
KPY’s Financial and Operational Targets
KPY’s Board of Directors has set the following financial and operational targets:
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Multiplying the amount of assets under management (AUM)[2] by the end of 2030.
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Growing NAV / share annually.
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Distributing at least 20 percent of the net income generated by holdings to KPY as cooperative interest annually and increasing the share distributed as cooperative interest to approximately 60 percent by 2030. KPY may also distribute funds from returns accumulated from investment activities in connection with successful exits, taking into account, however, anticipated capital needs for future investments as well as the group’s strategic and financial position.
Here is the CEO’s interview:
The webinar starts at 11:00. KPY yhtiöesittelytilaisuus 22.5. klo 11.00 - Inderes