Advised IT-Ernity, a leading provider of internet services and hosting solutions, on its sale to TransIP, a privately held hosting services company based in the Netherlands
Aug 2018
(a portfolio company of GMT Communications Partners and VSS)
acquired by
  • Sector: Cloud Managed Services
  • Deal Type: Strategic Deals; Private Equity Deals
  • Engagement type: Sellside
  • Size: <$200m
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Arma Partners is pleased to announce that it has acted as exclusive financial advisor to IT-Ernity Internet Services BV on its sale by GMT Communications Partners, VSS and management to TransIP.

IT-Ernity is a provider of business critical managed cloud services for SMEs in the Netherlands.

The combination of IT-Ernity and TransIP, which are each leaders in their respective, highly complementary market segments, will create one of the largest cloud service providers in the Dutch market capable of serving all customer types and needs as their requirements scale.

The sale of IT-Ernity further reinforces Arma’s market leading position in the cloud services sector and highlights our ability to identify the best buyers and deliver very successful strategic transactions.

-Founded in 2002, IT-Ernity is a provider of business critical managed services and shared hosting for SMEs in the Netherlands

-The company offers infrastructure and cloud services, including colocation and dedicated, enterprise cloud, managed, networking and connectivity, data storage and security, application and IT-outsourcing

-The company operates through different brand names with its key divisions being Cloud VPS, Proserve, Signet and VDX

-IT-Ernity employs c.120 professionals operating from three offices in the Netherlands

-Founded in 2003, TransIP provides virtual private servers, domain name registration, and Web hosting services to customers and information technology professionals
-The company offers:
-BladeVPS PureSSD Pro: a self-managed tool that contains Web control panels and operating systems
-STACK: an online storage solution for storing, syncing, and sharing various files, photos, and documents
-SSL certificates that encrypt the connection between a Website and the server
-It also offers forwarding, big storage, and private network services

-The Company is owned by GMT Communications Partners, which is a repeat client for Arma

-After IT-Ernity received an inbound from TransIP, followed phases of deal value negotiations within a constraint timeframe. Afterwards, both parties agreed an exclusivity period to conduct diligence

-The combination of IT-Ernity and TransIP, which are each leaders in their respective, highly complementary market segments, will create one of the largest cloud service providers in the Dutch market capable of serving all customer types and needs as their requirements scale

-Arma acted as exclusive financial advisor to IT-Ernity on its the sale by GMT Communications Partners, VSS and management to TransIP

-The transaction illustrates Arma’s leadership in advising companies in the cloud services sector, leveraging its deep domain expertise and first class execution capabilities in addition to identifying the best buyers and delivering very successful strategic transactions

-Arma supported IT Ernity in the sale process, with a particular focus on:

  • Equity story, KPI development, financial modelling
  • Coordination of due diligence
  • Support in negotiations