HMT LLP undertook financial due diligence for Maven Capital Partners (“Maven”) and YFM Equity Partners (“YFM”) on their £12 million investment in Indigo Telecom Group Ltd (“Indigo”) to support the management buy-out.
South Wales based Indigo designs, installs and maintains telecom networks across the UK and Europe, enabling customers such as Vodafone, Sky and BT to deliver fixed line, broadband, mobile and other data services to a wide variety of corporate, enterprise and consumer end users. Its key capabilities include Project Services, such as large-scale, turnkey network installation and commissioning projects, and Managed Services covering the management, repair and maintenance of telecom networks.
Indigo has 85 full time employees, and operates a well-developed partner eco-system of up to 500 engineers which enables the business to provide comprehensive geographical coverage for customers, with minimal ‘time to site’ service levels. The company operates across 20 countries and supports over 10,000 client sites with operations managed through a dedicated 24-7 Network Operations Centre.
Maven and YFM have supported the MBO investing in partnership to provide a £12 million funding package, including additional funds to support a buy and build strategy to scale and diversify the Indigo group.
The management team led by CEO Stephen Thompson has a growth strategy to create a global telecom services group that is resourced to achieve both organic growth, capitalising on a number of attractive market opportunities, and a focused buy and build strategy in the telecoms sector.
HMT undertook due diligence on this transaction.
Andrew Ferguson, Partner at Maven commented
“We have worked with the HMT Transaction Services team on a number of deals and they have always provided an excellent service, their advice has been clear and concise, and as ever they produced a high quality report which highlighted all key issues in a clear and easily understandable way. We were delighted to work with HMT and would be happy to recommend their services.”
Peter Welch, Chief Financial Officer at Indigo commented
“HMT performed a detailed financial and tax due diligence review of the company and its plans during the MBO process. The level of intelligence applied and quick understanding gained by the HMT team was very helpful during a very busy time for everyone involved. I look forward to working with them again in the future as we look for growth both organically and through acquisitions.”
“We are delighted to have advised Maven and YFM on their investment in Indigo. With private equity support and the growth strategy put in place by the management team, Indigo has a bright future in front of them and we are looking forward to working with them again in the future.”