Buyer for managed services solutions company in Europe

• Revenue: 10-50M EUR
• Employees: not decisive
• Location of the target: Europe
• Reason for acquisition: The company is a large player in managed services sector. It has a strategy for growing its operations in Europe via acquisitions, therefore the management is open to speaking to interested sellers
• #CFIE ITB109

The buyer company is a well-known organization active in managed services domain. It is present in India, US and Malaysia and now is looking to enter in the European market by acquiring another similar company. Globally the buyer’s annual revenue is about 50M Euros, but is backed by a big Private Equity group which allocated large amounts of capital for acquisitions, so the buyer entity has the necessary funds to acquire large companies. No bank financing is required for acquisitions. The buyer’s annual profit rate is about 12% and wants to increase it by integrating new services and teams. The CEO will be directly involved in the deal. The target location is all Europe, but the preferred countries would be Germany, Romania and Poland. Other important remarks: the buyer is looking for good customer portfolio based in Europe. The group is interested in acquiring a major stake and is looking to grow the local organization by integrating with its own services and customers. As possible synergies to bring to target can be mentioned Leadership abilities and Working Capital capabilities. The planned time to start the M&A project is immediate and the horizon for the acquisition is maximum the end of this year.

The buyer enterprise is interested to acquire companies that are into consulting/infrastructure and that are providing consulting services or solutions to customers across the globe. The management team is looking for companies active in software services/solutions and that have specific activities related to SAP, Oracle, Microsoft, Infrastructure, .NET, Artificial Intelligence/Machine Learning, Mobile, Custom Application Development, Testing and Cloud Support Services. It is also looking to acquire controlling interest in the organization while retaining the founder/top management for a certain period of time. Target companies should be registering revenues ranging between 8-50M Euro (if the company’s offering is good then the possible deviations can be accepted) with a roughly number of employees ranging from 50-500. Local home grown team is integral part of acquisition and the only reason the buyer wants to acquire is to grow the business. The buyer is very ambitious, is planning to expand the business and double the revenues in 5 years.

The company’s managed services solutions help organizations to be more cost effective and to increase their market value. The customized procedures, refined staffing and technology solutions enable to streamline the business. The managed services platform offers automation to the current workflows and brings more efficiency to internal processes. The company provides a cloud based internal system designed for process management. The system’s intuitive features allow companies to detect causes of problems and to gather an optimized solution. The company empowers its clients with the right tools to appropriately manage resources and protect the business data with back-up solutions.

The buyer is looking to acquire a company that operates in the same activity and has similar services such as:

• Managed Services
• IT Staff Outsourcing
• IT Recruitment and Training
• Vendors Management
• Payroll Management
• Custom Application Development
• Cloud Support
• Statement of Work Management
• Consulting

• The buyer is a global managed services and consulting company focused on delivering solutions that bring more efficiency in the internal workflows of a company
• The company has decided to enlarge its activities in Europe and is looking to buy another company with similar activities and services
• Target companies should large enterprises with wide portfolio of Europe based clients