Tech expert completes £24m buyout to target new opportunities
The Manchester office of Leeds-based YFM Equity Partners has provided £9.3m towards the £24m partial buyout of Warrington-based tech company, Resulting IT.
This will enable the firm to pursue further growth across the UK and break into new sectors.
In the past two decades Resulting IT has carved out a strong position in the market as an independent provider of Enterprise Resource Planning (ERP) expertise. It has a strong heritage in leading ERP platform SAP but is technology agnostic and works with other packages such as Oracle, Workday, IFS and MS Dynamics.
As a business-side ERP consultancy, Resulting IT provides clients with advisory services, helping them to define their ERP strategies, produce technology roadmaps and select delivery partners. It also provides project management support, through its highly experienced programme managers who are skilled at steering large, complex projects.
The consultancy has a roster of high profile clients including Transport for London, Asda, Leeds University and NHS 24, and has developed a range of proprietary software tools and products to enhance service delivery.
Stuart Browne, Resulting IT managing director, said: “Securing a partner like YFM validates the strong positioning we’ve established as the UK’s leading independent ERP consultancy.
“YFM’s investment will enable us to accelerate our growth and extend our services to help even more companies, across a wider range of sectors, without sacrificing quality of delivery.”
He added: “We’ve had plenty of interest in the business due to our unique positioning in a crowded market, but we felt that private equity offered us the flexibility to continue to build out a real challenger consulting offering.”
Mike Clarke, partner at YFM who led the funding, said: “Resulting IT is a fiercely independent and high growth technology consultancy built by expert founders, with customer service at its heart.
“From our first meeting with the team, the chemistry and the importance of a people-centric culture, shared between our two organisations, was clear. Resulting IT has repeatedly shown an ability to listen and really understand their clients’ needs, which drives the efficiency and effectiveness of any ERP system. The addition of its own tools and products shows the company’s potential to develop cutting edge solutions to speed up digital transformation.”
The YFM team was led by Mike Clarke and included, Laura Sisson, Ian Waterfield and Gavin Chadwick. Gavin will also be joining the Resulting IT board. Iain McKenzie has also joined the board as non-executive chair. He brings considerable experience to the role, including with former YFM portfolio company FourNet.
Advisers on the deal included: Blacksquare Advisory (buyside M&A), Armstrong TS (commercial DD), Cortus Advisory (financial DD), Catalysis Advisory (organisational DD), Alexander & Co (tax structuring), John Dowell (IT DD), Ian Fisher (operational DD), Lockton (insurance DD), Hill Dickinson (legal advisers), BDO (vendor financial DD), KPMG (vendor M&A), Brabners (vendor legals).