US tech firm drops takeover bid for DigiD operator Solvinity
The American IT services company Kyndryl has abandoned its attempt to buy Solvinity, the Amsterdam-based firm that runs the hosting...
American IT services company Kyndryl has withdrawn its attempt to acquire Solvinity, the Amsterdam-based operator of DigiD's hosting platform. The Dutch government blocked the €100 million takeover in May due to national security concerns over the US Cloud Act. Kyndryl confirmed in a statement to the NRC that the deal had been prohibited and that Solvinity's owners were considering their response.
DigiD is a crucial login service used by millions in the Netherlands for various government functions, and Solvinity also provides the Berichtenbox message service and supplies data to the justice ministry. The takeover was blocked by junior digital economy minister Willemijn Aerdts, who cited national security interests. Solvinity, owned by British private equity firm Vitruvian Partners, is appealing the decision, and a Rotterdam judge ruled in July not to suspend the ban.
The government plans to re-tender the DigiD contract under stricter defense and security procurement rules, which would require the next operator to be European.
Written by urgent.news from DutchNews's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
