£65m-turnover technology firm disposes of subsidiary business
Sheffield-headquartered technology firm Servelec has sold its subsidiary firm which provides remote monitoring systems.
Servelec Technologies, which also provides secure SCADA systems, and business optimisation software, has been sold to Laurel Solutions, a US-based holding company which works with leading businesses to grow the smart use and development of industrial technology.
Servelec, a leading software provider to the NHS and local government for over 20 years, will now focus on the healthcare, social care and children’s services markets.
The announcement comes just two months after £65m-turnover Servelec announced its acquisition of Careervision – known as C:Vision – to strengthen its local government division. Servelec was bought by private equity firm Montagu for £223.9m in November 2017. The company, which was founded in 1977, was valued at £122m when it listed on the London Stock Exchange’s main market in 2013 but left the stock market after it was acquired by Montagu in November 2017.
Neville Davis, Chairman of Servelec, said: “We are pleased to confirm the sale of Servelec Technologies. The company has a strong strategy in place to further develop the business and we wish David Frost, Managing Director of Servelec Technologies, and the team every success for the future.
“Servelec is now wholly focussed on our core public sector markets of NHS and local government. As these markets continue to integrate and share data to deliver improved care, we are working very closely with our customers to provide what they need for a joined-up future. Digital Care is at the heart of what we do; we are certain that this will enable the sectors we address to provide higher quality service in a more cost-effective manner.”
Martin Carter, CEO of Laurel Solutions, added: “Servelec Technologies is a leading, global provider of connected remote monitoring and control solutions, helping clients and industries to realise their digital futures. The business is a leader in the UK and other water and wastewater markets, and a major player internationally in sectors including energy, transport and infrastructure. This investment further builds out our leading portfolio in remote asset monitoring and control.
“We are excited to partner with Servelec Technologies’ highly talented management team, and plan significant investment in innovative products and solutions that will enhance their already outstanding offering.”
David Frost, Managing Director at Servelec Technologies, said: “We’re thrilled to have the backing of Laurel Solutions as we start a new chapter as a standalone business,” said. “They bring not only the technical knowledge, but the business operations experience and capital resources that will be instrumental in our success and future growth.”
Raymond James acted as financial advisor to Servelec and Walker Morris as legal advisor to Servelec. Willkie Farr & Gallagher LLP served as legal counsel to Laurel Solutions and FFL Partners. Park Place Corporate Finance advised the management team of Servelec Technologies.