Errevi System: Target delle Strategiche Espansioni di KYIP Capital
Deal News | Dec 10, 2024 | Finance Community IT - 1 Corporate M&A
KYIP Capital, an independent Italian private equity firm, has acquired a 70% majority stake in Errevi System, a prominent player in the ICT sector providing innovative services in cloud infrastructure, cybersecurity, and business applications. With annual revenues of approximately €32 million and an EBITDA margin of 16%, Errevi System is considered a strategic partner for Italian companies aiming to accelerate their digital transformation. The acquisition is supported by the co-investment fund Fondo Italiano d'Investimento (FII) through the Fipec fund, aiming to aid in the strategic growth through acquisitions and enhancement of service portfolios. Additionally, Clessidra Capital Credit SGR and Merito SGR have financed the transaction with a unitranche loan. This marks the beginning of a strategic project to solidify Errevi System as a key player in managed services, with plans for organic expansion and targeted acquisitions. Legal, tax, and financial advice for the transaction were provided by PedersoliGattai, Pirola Pennuto Zei & Associati, OC&C, KPMG for KYIP and by EY Parthenon, Sutich Barbieri Sutich, PPI & Partners for Errevi.
Sectors
- Information and Communications Technology (ICT)
- Private Equity
- Debt Financing
Geography
- Italy – Both KYIP Capital and Errevi System are Italian companies. The transaction and the strategic growth plans are focused on the Italian market.
Industry
- Information and Communications Technology (ICT) – Errevi System operates within the ICT sector, offering services such as cloud infrastructure, cybersecurity, and business applications.
- Private Equity – KYIP Capital is a private equity firm involved in the acquisition of Errevi System.
- Debt Financing – Clessidra Capital Credit SGR and Merito SGR provided financial support through a private debt fund for the acquisition.
Financials
- €190 million – Assets under management by KYIP Capital.
- €32 million – Annual revenue of Errevi System.
- 16% – EBITDA margin of Errevi System.
- 17 million – Financing amount provided by Clessidra Capital Credit and Merito SGR.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| KYIP Capital | Bidding Company/Buyer | Company | Independent Italian private equity firm acquiring the majority stake in Errevi System. |
| Errevi System | Target | Company | ICT company specializing in cloud infrastructure, cybersecurity, and business applications. |
| Fondo Italiano d'Investimento (FII) | Co-investor | Company | Co-investor supporting KYIP in the strategic growth of Errevi. |
| Clessidra Capital Credit SGR | Debt Financing | Company | Provided unitranche financing for the acquisition through Clessidra Private Debt Fund. |
| Merito SGR | Debt Financing | Company | Co-investor in the unitranche financing for the acquisition. |
| PedersoliGattai | Legal Advisor | Company | Provided legal advice to KYIP Capital. |
| Pirola Pennuto Zei & Associati | Tax and Structural Advisor | Company | Provided tax and structural advice to KYIP Capital. |
| OC&C | Commercial Due Diligence | Company | Conducted commercial due diligence for KYIP Capital. |
| KPMG | Financial and Tax Due Diligence | Company | Conducted financial and tax due diligence for KYIP Capital. |
| EY Parthenon | Advisor | Company | Provided advisory services to Errevi System. |
| Sutich Barbieri Sutich | Legal Advisor | Company | Provided legal advice to Errevi System. |
| PPI & Partners | Economic and Financial Advisor | Company | Provided economic and financial advice to Errevi System. |