Fremman Capital to acquire a majority stake in connexta, a leading IT services platform in Germany focusing on SME customers. Management and sellers will remain as significant minority shareholders alongside Fremman Capital

Today, Fremman Capital is pleased to announce the acquisition of connexta, a buy-and-build focused IT platform serving SME customers across Germany, with strong expertise in IT infrastructure (“Core IT”), cloud solutions and cybersecurity from its current majority shareholder, AURELIUS Wachstumskapital.

Headquartered in Munich (Germany), connexta was initiated in 2019 by AURELIUS with the acquisition of ID.KOM and has since focused on a dedicated buy-and-build strategy, with 9 add-on acquisitions completed since 2019 and an established reputation in the industry for being the acquirer of choice.

The Company, led by an experienced management team, established an impressive track record of organic and inorganic growth. Over the last years, connexta has demonstrated a strong ability to attract regionally focused as well as specialised IT service providers to join the platform. With a regional network of 12 locations across Germany, connexta has established a unique go-to-market approach offering SME clients end-to-end IT Services.

The IT services industry is a large and growing market, driven by sustainable trends such as increasing demand for cybersecurity, outsourcing of IT services and a shift towards managed services. Its focus on small to medium-sized customers, together with a strong performance across all phases of digital transformation, gives connexta a clear path to continued growth. Furthermore, extensive expertise in mission-critical segments, such as cloud and cybersecurity, positions connexta to consolidate the highly fragmented market.

Dr. Jens Stief, CEO of connexta, said: “We are very grateful and happy with the support we have had from AURELIUS and thrilled about the next growth phase with Fremman Capital as lead investor. Our team is committed to further grow our business and to innovate with new IT-services. We intend to enable our customers to prosper based on our world class, secure IT. It is our ambition to build a significant IT-champion for SME customers in Germany. This will lead into a growing attractiveness for further add-on-IT-companies and talent, alike. We look forward to working with Fremman Capital and continuing our fast growth in Germany.”

Dr. Mirko Meyer-Schoenherr, Founding Partner of Fremman Capital, added: “We see connexta as an ideal fit with our investment strategy, given the market attractiveness, the asset’s high quality and the ability to grow in a fragmented environment. To partner with connexta’s outstanding management team and AURELIUS, as well as being a part of this ambitious growth story is an exciting value creation opportunity for us. Fremman Capital looks forward to supporting connexta with our extensive consolidation experience, taking the Company to the next level.”

connexta is Fremman Capital’s seventh platform investment, having been signed just a few months after announcing the final closing of its debut fund, with €1.2bn AUM, and its first platform exit (Palex2 Medical). Since its inception, the firm has completed six platform investments: Bollo Natural Fruit (Spain), VPS (Netherlands), Medinet (UK), Palex Medical (Spain), Kids Planet (UK), HT Médica (Spain), and more than 50 add-on investments.

TCG (M&A), KPMG (Financial, Tax), and Ommax (Commercial) have been acting as advisers to the Sellers, with Carlsquare (M&A, Debt advisory), Telescope (Commercial), PwC (Financial, Tax), Görg and Ashurst (Legal), Howden (Insurance and W&I), and GOF (Debt advisory) have been advisers to Fremman Capital in the transaction.

About connexta

connexta is a buy-and-build focused IT platform serving SME customers across Germany, with strong expertise in IT Infrastructure, cloud solutions and cybersecurity.

Headquartered in Munich (Germany), connexta was initiated in 2019 by AURELIUSwith the acquisition of ID.KOM and has since focused on a dedicated buy-and-build strategy, with 9 add-on acquisitions completed since 2019 and an established reputation in the industry for being the acquirer of choice.

For more information, please visit https://www.connexta.de/.

About Fremman Capital

Fremman Capital is a pan-European, mid-market investment firm with offices in London, Luxembourg, Madrid, Munich and Paris that looks to partner with successful management teams to help transform businesses from local champions to multinational sustainable leaders. Its senior Partners have a long history working together, with over 100 years of combined investment experience. Fremman Capital’s goal is to build better, more sustainable businesses that positively impact society.

For more information, please visit https://fremman.com/.

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