Pemberton, the diversified asset manager backed by one of Europe’s largest insurers, Legal & General Group PLC, has committed an additional €50m acquisition facility to Waterland-owned Enreach, a pan-European provider of intelligent, integrated IT and communications solutions, as it continues its growth.
Pemberton initially partnered with Waterland in early 2018, when it funded the platform acquisition of Swyx, a German Voice-over-IP software company, via c. €50m of term and acquisition debt. Later the same year, as sole lender, Pemberton increased the package to approximately €150m of term debt and a committed acquisition facility to finance the combination of Swyx with Dutch Voiceworks Group to form Enreach and spur the continued ‘Buy-and-Build’ strategy. The latest financing brings Pemberton’s total funding to €197m.
Enreach is a provider of unified communications solutions to small and medium sized businesses across Europe. Enreach’s products allow businesses to operate their communications from any device, without the upfront investment into servers, and with lower communication hardware cost. The company employs over 600 people and expects turnover of more than €150m in FY 2019.
Since Pemberton’s initial investment, Waterland and Enreach have embarked on an impressive growth journey, acquiring and integrating seven companies across Europe into the Group, most recently buying UK-based NT Technology Group, financed by the newly increased Acquisition Facility.
Jürgen Breuer, Head of DACH at Pemberton, said: “This transaction is an excellent example of how we provide tailored funding to a business with strong growth potential in order to help it seize opportunities to expand internationally – it’s where Pemberton’s model of providing flexible financing solutions shines the brightest. The new capital will support Enreach as it embarks on a journey to become a European leader in an attractive and fragmented segment of the communications market.”
Jan Dörries, Director at Waterland, said: “Pemberton proved to be an agile and client- focussed credit partner, providing a significant bespoke commitment to a fast-growing portfolio company. We value their commercial, long-term approach to financing.”
Stijn Nijhuis, CEO of Enreach, said: “Enreach is proving to be an attractive European platform for fast-growing unified communications businesses across Europe. Given the nature of our sector, speed and certainty of execution are key for the success of our strategy. Pemberton’s understanding of our strategy has been outstanding and having to deal with a single like-minded partner for financing proves valuable.”
Pemberton supported Waterland and Enreach via its European Mid-Market Debt Strategy. The initial elements of the ‘Buy and Build’ strategy contributed to Pemberton’s strong deployment in DACH, with 17 transactions since the start of 2017, whereas this latest transaction is Pemberton’s sixth in the Netherlands.
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