HMT advised leading mid-market private equity investor LDC on the management buyout of data and network security specialist Phoenix Datacom.
Buckinghamshire-based Phoenix Datacom provides solutions and services to improve on-premise and cloud application performance and cyber-security for major UK organisations across a range of sectors. Established in 1984, it has a list of longstanding blue-chip clients which includes leading financial institutions, network operators, media businesses, broadcasters and public sector organisations.
The business plays a key role in helping organisations to build, validate and optimise their networks and secure their most critical information. With a range of solutions and a high degree of technical expertise, Phoenix is well placed to support major businesses in their digital transformation as they scale their networks and improve their defences against the increasing risk of cyber-attack. Over the past three years, its revenue has increased by 48% to more than £20million in the financial year ending March 2020.
The partnership with LDC will support the existing management team led by Managing Director, John Carson, to expand Phoenix’s suite of hardware and software products and related services to help its enterprise customers further enhance their cyber-security. LDC’s backing will also help the team to explore complementary acquisitions.
HMT, led by Paul Read and Corin Briault-Hutter, undertook financial due diligence for LDC on this transaction.
Paul Read commented:
“We are delighted to have advised LDC on their investment in Phoenix Datacom. This investment further strengthens LDC’s strong heritage of supporting fast growing tech businesses. With this backing, Phoenix Datacom are now well positioned to build, scale and further enhance their product and service offering as well as support their clients to enhance their digital security.”