Digica
Herts-based IT infrastructure provider Computacenter has announced the acquisition of Digica for a £15.9m consideration and settlement of £12.1m in assumed debt.In the year ended June 2006 the IT services provider Digica, with offices in the UK and South Africa, had EBITDA totalling £2m on revenue of £19.4m and its gross assets amounted to £16.9m.
“The acquisition of Digica supports Computacenter's strategic plan to deliver services growth, particularly in the medium sized public and private sectors and the expanding datacentre services market,” the company said.
We advised Digica on the transaction.
Acuma Group
Chennai-based software company Saksoft has acquired 100% stake in Acuma Group, a UK-based information management solutions firm, about two times its size, for $17m (about Rs 78 crore) in an all-cash deal. Post acquisition, Saksoft expects a revenue of Rs 200 crore, up from Rs 50 crore in ’05-06.
Saksoft MD Aditya Krishna said the acquisition would combine Acuma’s strength in consulting with Saksoft’s global service delivery model.
Mantix
We advised Mantix Group, a specialist programme management consultancy, on its sale to multi-disciplinary international consulting group Atkins for £8.75m in cash. Mantix specialises in helping clients make major investments in technology and business change. Its clients include central government departments.
The acquisition of the 60-strong firm came as Atkins posted overall pre-tax profits of £72m on turnover of £1.4bn for the year to 31 March. The firm's managment and project service arm, which includes Faithful + Gould, saw turnover rise 13% to £171m and operating profit jump 50% to £13.9m.
In a statement the company said F+G had an "excellent year" with improved margins due to more selective bidding and improved utilisation of staff. It added that prospects for the division were good, including new opportunities for redeveloped train stations, consultancy on expansions of regional airports and health and education work.
SwissQual
Spirent Communications announced that it has entered into an agreement to acquire SwissQual, a test and measurement company for wireless network operators. The company made the acquisition for a consideration totaling up to $70.5 million USD (including performance incentives) on a cash and debt-free basis.
The acquisition of SwissQual will enhance Spirent's presence in the wireless test and measurement market by bringing exposure to a new segment, subscriber experience management. Subscriber experience management measures the quality of the wireless subscriber's experience and service received from a user's, rather than a network, perspective. This "user-focused" perspective also favorably positions Spirent for growing its business in testing mobile video applications as well as wireless services and handsets.
"The acquisition of SwissQual is in line with our strategy to expand our wireless communications business, drive profitable growth and deliver shareholder value," commented Anders Gustafsson, chief executive officer of Spirent Communications.
"Acquiring SwissQual's operations, technology and strong European customer base will broaden our wireless footprint, enhance our competitive edge and accelerate our entry into new growth markets."
SwissQual, a Swiss-based company with approx. 80 employees, was founded in 2000 and provides products that measure the experience of users of wireless applications and services. SwissQual also has regional offices in Italy and Singapore.
Xenicom
Andrew Corporation has acquired Xenicom Ltd., a privately-held UK-based provider of software solutions that help telecommunications operators plan, launch, and manage wireless networks.
Under terms of the acquisition, Andrew paid approximately $11.5 million cash, with additional cash consideration possible if certain financial performance goals are reached over a two-year period. Xenicom generated approximately $11 million in sales during the current year. Its customers include several major European mobile operators.
Xenicom’s solutions and products help its customers achieve greater efficiency and cost savings, improved service levels, and increased flexibility and control in managing 2G, 2.5G, and 3G wireless networks. With Xenicom’s software capabilities and products, Andrew sees significant opportunity to assist wireless operators manage and optimize infrastructure as they transition to new networks based on 3G standards.
“Combining Xenicom’s software capabilities with Andrew’s globally diversified customer base and industry-leading product portfolio creates a new market opportunity for Andrew and a compelling choice for mobile operators worldwide,” said Terry Garner, group president, Network Solutions, Andrew Corporation. “This enhances Andrew’s ability to deliver solutions that help our customers improve the capacity of their networks, reduce capital spending, and roll out new and upgraded infrastructure more quickly and efficiently.”
The acquisition, which is effective immediately, should be slightly accretive to earnings during the first 12 months. As part of the transaction, Xenicom and its 55 employees—located in offices in Bristol, U.K.; Dallas, TX; and Sao Paulo, Brazil—will join Andrew’s Network Solutions group, which had sales of $184 million in fiscal 2004. Network Solutions provides high performance, high quality radio frequency (RF) and digital measurement tools and network data management, performance evaluation, and resource optimization solutions for wireless communications systems.
GGTC
We successfully advised the shareholders of Government Grants and Tax Consultants Ltd ("GGTC”) in arranging a significant minority investment in GGTC and its wider Group from private equity investors, Foresight Group ("Foresight”).
The investment will support the growth of the business and aid the development of other companies in the Group.
Founded in 2006 by John Penn, Chairman, and Jeremy Tear, Managing Director, GGTC provides research and development tax credit support to UK-based SMEs. Companies in the wider Group including, Capital Allowances Specialist Ltd and Patent Box Consultants Ltd, also provide support services to UK SMEs looking to gain access to government tax incentives which have proved an important enabler to growth.
In addition to supporting the continued growth of GGTC across the UK, Foresight’s investment will assist the Group as it looks to diversify its product and service offering, providing further much needed support to UK based SMEs. GGTC currently has two offices, one based in St Albans and one in Hertford.
Jeremy Tear, commented:
“Mike Simson worked with us for over 18 months doing all the ground work helping us find a future for the company. His firm did a lot more for us than just their corporate finance job and their support has been fantastic.”
Mike Simson, Regent Evolution Partner commented:
“The GGTC project is a great example of how our consultants worked with the client preparing the business for exit which then lead onto a transaction initiated and advised by our corporate finance team.”
Coach in a Box
BTS GROUP AB, a leading global strategy implementation firm, has agreed to acquire Coach in a Box, a consultancy group offering innovative coaching services on a global scale.
Coach in a Box' consolidated revenues amounted to approximately 9 MGBP in its latest fiscal year, 12 months ending June 30th, 2017, with an operating margin (EBIT) of 15 percent. The company has been growing by over 25 percent on average per year for the past five years. It is UK based and employs 70 people in five offices, including Chicago, Sydney and Singapore. In addition, it is working alongside 200 licensed coaches from 37 countries operating in 27 languages.
Coach in a Box was established 2005 to help leaders, at all levels, improve and change using an approach that is virtual, affordable, scalable and fast. This approach successfully disrupted the market by changing coaching from being a service for senior leaders into a practical tool to turn strategy into action across the organization. The pioneering research and data driven approach established by Coach in a Box allows for mindset shifts at scale in clients.
"We are really excited to welcome Coach in a Box to BTS. As the first mover and today's global leader in scalable coaching, they create impressive results for their clients. Our combined services will make us an even stronger partner in the market place and accelerate our growth," says Henrik Ekelund, Founder & CEO of BTS.
The founding partners of Coach in a Box, Sue Stokely, Jerry Connor, and Lee Sears have all agreed to stay on for a minimum period of three years to help propel continued growth.
"We are delighted to join the BTS family and hugely confident that this strategic move will accelerate our purpose. By bringing the best of both our businesses together we will offer the market something disruptive and unique. Along with measurable impact that delivers amazing experiences and results for our clients," says Sue Stokely.
BTS acquires the shares in Coach in a Box Holdings Ltd. and its subsidiaries, all operations including talent, technology, intellectual property, brands and equipment. Of the initial purchase price, approximately 25 percent is paid in new BTS shares. The exact initial price will be adjusted for Coach in a Box' net cash position. An additional payment, which can partly be paid in new BTS shares, will be paid out in 2020 provided the acquired business meets specific targets 2017-2020.
The transaction is effective as soon as the completion procedures have been finalized, which is expected during the coming days. Once completed, the acquisition is estimated to have a positive impact on BTS's earnings per share during 2018.
BTS's strategy for acquisitions aims to create a broader base for future organic growth while actively consolidating a highly fragmented market. Through its acquisitions, BTS also seeks to serve new and existing customers with innovative services based on next generation, digital technologies.
Coach in a Box was advised by a team led by our partner, Mike Simson with Roger Bailey of Moore Barlow providing legal advise.
Catalyst Development
ABeam Consulting, a leading global provider of business transformation services, today announced that it has completed the acquisition of Catalyst Development a financial services consulting firm to strengthen ABeam's large, predominantly Asian financial services practice, which has 800 consultants dedicated to 100 financial services clients including eight of the top ten Japanese banks, the top four Japanese leasing companies and four of the World's top twelve insurance groups.
ABeam Consulting delivers major business transformation services to a number of the world's largest financial services companies and the acquisition of Catalyst Development will further enable ABeam to expand both its range of services and its global delivery capability. "We are delighted to have acquired Catalyst Development as a major component of our growth strategy for financial services," said Kazumasa Nishioka, President & Representative Director of ABeam. "The Catalyst team strengthens our financial services capabilities and enables us to service the world's leading global financial institutions."
Catalyst Development, founded by Greg Davis in 1994, is focused on delivering significant improvements in the value and performance of Technology and Operations for major financial institutions including six of the World's top twelve Banking groups with assignments covering Europe and North America. "We are honoured to become part of ABeam which provides our clients with an expanded and deepened range of services on a global basis and allows our people to expand their career experience within a global organization. The core values of ABeam and Catalyst are truly aligned which is very important for both our staff and our clients. We are very excited about the future" said Greg Davis. Hidenori Kuroki and Greg Davis will become co-heads of the newly created global Financial Services practice.
Polyplas
We acted for Polyplas on the transaction.
Robnor Resins
Robnor Resins, a subsidiary of Bridgepoint Capital Private Equity owned Halifax Industrial has been acquired by its management team.
Robnor manufactures a range of epoxy & polyurethane potting compounds for electrical and electronic applications.
We advised Bridgepoint and Halifax Industrial on the sale of the business to its management team.