Gamma Completes €200m Acquisition of STARFACE
Deal News | Feb 20, 2025 | Business Cloud
Gamma Communications plc, a leading provider of tech-based communication services in Europe, has acquired the German company SF Technologies Holding GmbH, known as STARFACE, in a deal valued at €201.6 million. The acquisition, which gives Gamma 100% equity in the business communications market leader, follows a competitive bidding process and has received regulatory approval. Gamma funded €30 million of the purchase through a new revolving credit facility, with the balance covered by existing resources. CEO Andrew Belshaw expressed enthusiasm about the deal, which aims to boost cloud adoption and innovation in the DACH region. The transaction value nets out to €196 million after accounting for cash and working capital, marking a significant strategic expansion for Gamma.
Sectors
- Telecommunications
- Software
Geography
- Germany – The target company, STARFACE, is based in Germany and serves the German market.
- Europe – Gamma Communications operates across Europe, and the acquisition extends its reach in the DACH region.
Industry
- Telecommunications – Gamma Communications operates in the telecommunications industry, providing communication services across Europe.
- Software – STARFACE, the acquired company, specializes in business communication and collaboration software solutions.
Financials
- €201.6 million – Total deal value for the acquisition of STARFACE by Gamma Communications.
- €30 million – Amount funded through Gamma's new revolving credit facility.
- €196 million – Net acquisition value on a cash-free, debt-free basis after accounting for cash and working capital.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Gamma Communications plc | Acquirer | Company | A leading provider of technology-based communication services in Europe. |
| SF Technologies Holding GmbH (STARFACE) | Target | Company | A German market leader in business communication and collaboration software solutions. |
| Andrew Belshaw | CEO of Gamma Communications | Person | CEO of Gamma Communications, overseeing the acquisition of STARFACE. |
| Gamma's Revolving Credit Facility | Funding Source | Financial Instrument | Part of the acquisition funding source, providing €30 million for the deal. |