The Epsilon team proudly represented a UK based Unified Communications provider in the sale of their business to Private Equity. Founded in 2006, our client had grown aggressively and consistently over the past years. The company has evolved from a provider of Telecommunications, ISP and SIP services to a Microsoft Gold Partner delivering on premise and hosted Microsoft Voice services.
Our client was purchased for their skills and expertise in the delivery of Microsoft products and services, Voice Services and understanding of complex IP Voice Platforms with particular interest in their overall skills across the delivery of Unified Communications services
What we did
Epsilon was responsible for ensuring that the deal progressed as smoothly as possible and that expectations were met. The deal represented a significant strategic purchase to the purchaser, significantly increasing the complexity of the process.
Initial expectations pointed towards a short due diligence process and quick sale. As is usually the case, the complexity of an owner lead business meant the sales process became more complex and lengthy. Epsilon navigated the vendor shareholders through the mine field of the negotiations and took hold of the Due Diligence process resulting in a successful exit.
The company was sold to Private Equity as a bolt acquisition in a new market segment, providing a diverse product set and a great market opportunity.
A cash and share deal of £4.5m and 8% of the holding company was agreed (Holding company valued at £38m). The vendors were delighted at the outcome as the deal represented a significant multiplier of EBITDA and an opportunity to drive further value by taking board positions within the holding company.
EPSILON IN NUMBERS
Achieved exit values of up to
22 x EBITDA multiples
Each partner never exceeds
3 clients simultaneously
Average exit value across all