Industry: IT services
OUR TRACK-RECORD
Under the teccle group GmbH, KS|M initiates a long-term buy-and-build strategy together with a renowned family office
In a nutshell
KS|M has joined forces with a renowned family office in northern Germany to initiate a long-term buy-and-build strategy in the IT service market under the teccle group branding.
Introduction: teccle group GmbH
As an holding company, teccle group GmbH (“teccle group”) aims to generate sales of over €100 million within 5 years by acquiring specialized IT service providers. teccle group does not see IT services as a time-for-money business: customers need a full-service partner to guide them through the digitalization process with packaged solutions. For this reason, the company relies on a very autonomous organizational structure when merging IT service providers: leading specialists are brought together under one roof with significant shareholdings. At the same time, the teccle group ensures that the companies grow significantly faster, both stand-alone and in combination with the group companies.
The teccle group invests equity capital from two renowned North German entrepreneurial families and its own management team and is therefore not subject to any investment pressure. The company is long-term oriented and seeks sustainable business relationships. The management team consists of a long-standing manager from the IT-service and technology sector as well as experienced experts in the areas of change and transformation, financial and controlling and inorganic growth.
The families of investors and the management team are united in the conviction that a focused and specialized investment approach, a modern philosophy of organizational and employee development, and a long-term sustainable approach are clearly superior to the strategic and financial investors operating in the market to date
KS|M supports shareholder in transformation and growth strategy of NET-WB GmbH from Muehlheim
In a nutshell
KS|M supports the IT-managed-service expert NET-WB GmbH (“NET-WB”) from Muehlheim in order to consistently implement the intended transformation and growth course.
Introduction: NET-WB GmbH
NET-WB is one of the leading managed-service providers in the Rhine-Main area. As a Microsoft and VMware partner, NET-WB operates IT infrastructures of German mid-cap companies as one-stop-shop. With a proven and selected hardware and service package of network, infrastructure, application and security solutions, the company is serving its customers since many years.
Initial situation at NET-WB GmbH
The company is currently in a transformation process and should be consistently converted to cloud-based managed-services by managing partner Jens Wegner. In the past years the company has been constantly traded with a turnover of more than €1m. At the end of 2019, managing partner Jens Wegner decided to expand the company and its market positioning and to pursue a growth course. Upon a client recommendation, KS|M was introduced to Wegner in December 2019. KS|M was able to convince Wegner with its view of the IT-service market, so that Wegner decided to go with KS|M for further operational and strategic support.
KS|M will support NET-WB operationally and strategically in the further development of structures, the expansion of the service portfolio and the development of employees with its expertise from many years of transforming and developing mid-cap companies and will also buy a share in NET-WB.
Outlook
KS|M and Wegner successfully started into 2020 by winning an experienced infrastructure specialist as Head of Operations and a whole IT-service-team of four specialists from the areas of system administration, infrastructure and sales for NET-WB by demonstrating a clear growth strategy in the market. Together, the expanded and strengthened team is now consistently pursuing the expansion of NET-WB.
KS|M teams up with evoila GmbH
In a nutshell
KS|M teams up with evoila GmbH in order to establish structures for further growth.
Introduction: evoila GmbH
evoila GmbH is one of the leading providers in the areas of consulting, analysis, implementation and support of highly complex multi-cloud infrastructures in the DACH region. As one of the largest professional service partners for VMWare in Germany, the company is primarily active for DAX and MDAX clients. With more than 40 employees at its locations in Mainz and Nuremberg, evoila is valued by its long-term customers for their high level of implementation know-how, great flexibility and a pronounced quality awareness
Initial situation at evoila GmbH
The company is rapidly growing and has been able to increase sales level by an average of 50% per year over the past three years. Due to the continued high demand for consulting services, the company stands with a current sales level of <€ 5m faced with the challenge of building qualified human resources without diluting the company's high level of quality. Various strategic and financial investors have already expressed interest in taking over the company. However, from a management perspective, none of the solutions offered the necessary flexibility to pursue a common growth strategy. In the summer of 2018, KS|M succeeded in gaining a trusting access to the circle of shareholders of evoila through its own expert network. The growth strategy in the IT services market presented by KS|M convinced the managing partners, so that starting in September 2018, evoila and KS|M started the partnership in screening the market for the first potential add-on companies. The acquisition of HOB GmbH & Co. KG is the first successful acquisition under the newly established partnership.
Outcome
Thanks to the active involvement of KS|M, evoila is now able to become the leading solution provider in the IT infrastructure environment. As an experienced and competent partner of renowned customers, new ideas and concepts in the area of cloud infrastructure with the highest quality and service requirements are already being implemented today. The interaction between passion, excellent know-how as well as maximum quality and service awareness is the focus here.
As part of its partnership with KS|M, evoila acquired the network business operations of HOB GmbH & Co. KG
In a nutshell
As part of its partnership with KS|M, evoila has acquired the IT network service business operations of HOB GmbH & Co. KG as part of a carve-out out of an insolvency process in self-administration effective beginning May 2019.
Introduction: HOB GmbH
HOB GmbH is an IT infrastructure service provider with a clear focus on networks. The 25 employees at the locations in Nuremberg and Muehlheim have been trusted partners of large and medium-sized customers in the fields of planning and installation of modern physical network infrastructures as well as network services for more than 30 years.
Initial situation: Carve-out from HOB GmbH & Co. KG
HOB GmbH & Co. KG has been a software and IT services company. The core focus of the company was on the development and worldwide marketing of software solutions: server-based computing, secure remote access as well as VoIP and virtualization. Historically, a network area that operates autonomously in the company emerged: planning, installation and distribution of LAN, WAN and WLAN networks for medium-sized and large companies. Due to the focus of the shareholder, the IT network services business unit at HOB GmbH & Co. KG was treated passively and operated purely as a “take-along” business, despite continuous positive results and considerable revenues. At the end of 2018, the shareholder withdrew from his financing role, so that a provisional insolvency procedure in self-administration was requested due to the highly loss-making software business. The network area serves long-term customers with great confidence. The staff base is exceptionally well trained and motivated to tackle the possibility of a new start out of the insolvency proceedings. KS|M and evoila recognized this potential at a very early stage and successfully prevailed in the bidding process and acquired the business operations of the IT network services.
Outcome
The merger with evoila now offers HOB the opportunity to position itself even more strongly as a quality leader and specialist in IT network services. In addition, evoila incorporates the virtualisation competence that is important for the future orientation of the business model so that it can consistently pursue growth in the future.