Francisco Partners Completes Sale of iconectiv to Koch Equity Development, Expands Ericsson's Telecommunications Solutions Portfolio

Francisco Partners has completed the sale of iconectiv, a telecommunications solutions provider, to Koch Equity Development. Ericsson co-owned iconectiv with Francisco Partners since 2017. Iconectiv serves over 5,000 global service providers and regulators with its trusted communication solutions. Francisco Partners expressed confidence in the new partnership with KED, expecting it to propel iconectiv's growth trajectory.

Stockholm, Aug. 22, 2025 - Ericsson (NASDAQ: ERIC) and Francisco Partners have completed the sale of iconectiv, a leading telecommunications solutions provider, to Koch Equity Development LLC (KED). The transaction, which was announced on August 16, 2024, marks a significant milestone in the company's history.

Iconectiv, which was acquired by Ericsson in 2012 as part of the Telcordia acquisition, has been co-owned by Ericsson and Francisco Partners since 2017. The company serves over 5,000 global service providers and regulators with its trusted communication solutions, including number portability solutions and core network and operations management services.

The sale of iconectiv to KED is expected to generate significant financial benefits for Ericsson. The cash benefit from the transaction, after accounting for anticipated taxes, transaction expenses, and other liabilities, is expected to be approximately SEK 9.9 billion (USD 1.0 billion) [1]. This sale will also result in a one-off EBIT benefit of approximately SEK 7.6 billion (USD 0.8 billion) in Ericsson's Q3 2025 financial results.

Francisco Partners expressed confidence in the new partnership with KED, expecting it to propel iconectiv's growth trajectory. The sale of iconectiv to KED will allow the company to continue its mission of providing reliable and trusted communications solutions to its customers globally.

Forward-looking statements

This release includes forward-looking statements. All statements other than statements of historical fact are forward-looking statements. These statements are subject to risks and uncertainties that could cause actual results to differ materially and adversely from those expressed in, or implied or projected by, the forward-looking statements.

References

[1] https://www.prnewswire.com/news-releases/ericsson-completes-sale-of-iconectiv-302536805.html