Advised Wireless Logic, Europe’s leading independent Machine to Machine (M2M) managed services player, on its sale to CVC Capital Partners
Feb 2015
acquired by
  • Sector: Communication Services
  • Deal Type: Private Equity Deals; Founder-led Businesses
  • Engagement type: Sellside
  • Size: $200-500m
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Arma Partners is pleased to announce that it acted as the exclusive financial adviser to Wireless Logic Ltd. (“Wireless Logic”), an ECI portfolio company, on its sale to CVC Capital Partners.

Wireless Logic is Europe’s leading managed services player in the Machine to Machine (M2M) market and a key enabler of the Internet of Things (IoT), serving hundreds of vertical end markets. Wireless Logic delivers a one-stop solution combining secure infrastructure, resilient software platforms and multi-network connectivity in partnership with major mobile and satellite operators. The Company has ca.1.5 million subscribers and over 950 customers, and offices in the UK, France, Germany and Spain.

This transaction demonstrates Arma Partners’ strong franchise in the M2M/IoT sector and its ability to deliver highly successful outcomes.

– Established in 1999 in Beaconsfield (UK), Wireless Logic is Europe’s leading managed services player in the M2M market

– In 2011, ECI Partners acquired Wireless Logic, enabling the founders to buy the business back off Phones International Group, who had acquired the business in 2002

– Wireless Logic has ca.1.5 million subscribers and over 950 customers, and offices in the UK, France, Germany and Spain. The Company reported revenues of £23.8m in FY14

– CVC Growth Partners was formed in 2014 and is led by John Clark
– The CVC Growth Fund focuses on middle-market, high-growth companies in the software and technology-enabled business services sector in North America and Europe, with equity cheques of $50-200m
– Wireless Logic is the first investment out of the CVC Growth Fund

– CVC identified Wireless Logic as the leading European managed services player in the M2M market and a key beneficiary of the explosive growth for M2M connectivity and related services (forecast to grow from €7.1 billion in 2014 to €22.5 billion in 2019, at a 25.9% CAGR)
– Through its ‘one window to all networks’ platform, Wireless Logic overlays a range of value-added services including secure VPN, device management, and global mapping solutions
– Partnering with CVC will allow Wireless Logic to further accelerate growth, both organically and via selective M&A, as well as expand its footprint across Europe and internationally

– Arma Partners supported the company in the exit process, including the performing of financial analysis, strategic positioning, preparation of marketing materials, interactions with strategic and private equity counterparties, and the leading of negotiations on the transaction terms

– Arma contacted the most qualified financial sponsors and trade buyers to determine interest in the business

– In parallel, Arma worked extensively with management to articulate the company’s growth strategy and corresponding financial plan

– CVC was the most attractive bidder for the business and Arma worked towards a very tight and compact timeline to complete the deal