Published: Dec 07, 2018
Focus:
Private Equity
Maven Investor Partners have exited their investment in Indigo Telecom Group (Indigo), to Growth Capital Partners, generating a return of 4.2x original cost.
Maven led the management buyout of Indigo Telecom in 2016 and during the term of its investment supported the business with the strategic acquisition of Belcom247 in September 2017, together forming the enlarged Indigo-Belcom Group. Following the successful acquisition, revenues increased from £12 million to a forecast of over £30 million in the current year, with underlying profits increasing from £1.3 million to over £4 million.
South Wales based Indigo Telecom designs, installs and maintains telecom networks across the globe, enabling its clients to deliver fixed line, broadband, mobile and other data services to a wide variety of corporate, enterprise and consumer end users.
Indigo’s senior executive team is led by CEO Stephen Thompson, who was previously Vice President of Sales at Technicolor and COO of Alcatel Lucent UK & Ireland. Under Stephen’s leadership, the business delivered strong organic and acquisitive growth, with year-on-year increases in earnings performance, as well as a continual focus on operational efficiency and growth in long-term Managed Service revenues.
“The sale of Indigo is a fantastic return for our investors. The growth of the Group since the MBO is testament to both the quality of the Indigo Telecom business and its senior management team. We are proud of how we have supported the Directors to execute their strategy during this growth phase, resulting in a business that has significantly expanded its global footprint and improved its service capability. We would like to thank the Indigo team for their hard work and wish them good luck for the next stage of the journey.”
Andrew Symmonds, Investment Director at Maven
“The business has grown tremendously in the last two years following the MBO. As well as the acquisition and integration of Belcom247, the Group has grown organically at an exceptional rate, expanded into new state of the art facilities and doubled headcount. It’s been an exciting period and we have welcomed the support and financial backing of both Maven and YFM during this time.”
Stephen Thompson, CEO at Indigo Telecom
The realisation of Indigo-Belcom is Maven’s second profitable exit this week, following the sale of Incremental Group which also delivered a return of more than four times the original investment.
Maven has a long term track record of identifying and investing in high growth companies across the UK regions, and working with management teams to drive drive and achieve profitable exits. Click here to read more about Maven's latest realisations and exits.
