Acora receives private equity backing for a buy-and-build strategy
Acora, a managed IT services provider, has been backed by Palatine Private Equity as it looks to expand its services through a buy-and-build strategy.
Acora provides a range of IT support and cloud solutions to help mid-market organisations.
It offers a full service suite, from service desk through to cloud transformation and ongoing managed service of cloud applications and infrastructure.
David Rabson, CEO of Acora, acquired the business through a management buyout in 2008. Since then, the business has developed from a traditional service desk provider with a regional presence to a UK-wide organisation with a 300-strong multi-national client base and headcount in excess of 300.
Acora operates three service centres in Solihull and West Sussex, a sales office in Central London and a small number of staff across mainland Europe and the US.
Tony Dickin, partner at Palatine Private Equity, said: “Throughout the (investment) process we have continued to be impressed by the quality of the senior management team, the strategy they have developed and the foresight they have shown in investing in high quality people and processes ahead of growth.
“The business has transitioned from its roots as a service desk provider to now offering cloud transformation and ongoing support services. The team has created and excellent platform to deliver fast paced growth both via acquisition and additional investment in people and services.
“We look forward to supporting the team’s value creation strategy going forward, specifically in helping the team convert the pipeline of buy and build opportunities they have highlighted.”
Rabson added: “We are extremely pleased to be joining forces with Palatine, from an early stage in our discussions it was clear to us that they would be the right to team to help us drive our journey faster and help us build on our successes to date. Our collective ambition is well-aligned, which will benefit the Acora business, its people and as importantly its customers alike. The key focus now is to continue to develop and grow our capabilities to support our loyal staff and customer base. We anticipate making further corporate announcements throughout 2020.”
Senior debt funding for the transaction was provided by Shawbrook Bank, while Gateley provided legal advice.
Raymond James provided corporate finance advice to Palatine and due diligence providers were Armstrong (commercial); RSM (financial and tax); Xaeus Blue (IT) and Cyberfort (cyber security). Spectrum Corporate Finance provided debt advisory services.