PE investor sells £80m turnover IT services company

Leeds-based private equity investor, Endless, has completed the sale of MTI Technology Group to Ricoh Europe.

The deal will expand Ricoh’s IT Services capabilities across Europe and enable its customers to gain access to MTI’s expertise and competencies in Cyber & Data Security, Datacentre Modernisation, IT Managed Services and IT Transformation Services.

MTI is an IT specialist solutions provider which has helped thousands of organisations to transform their IT operations by leveraging the latest technologies.

It employs more than 200 people, generating revenues of over £80m per year with operations across the UK, Germany and France.

Endless acquired MTI in December 2016 from US-based private equity fund, Garnett and Helfrich Capital LLP.

Ricoh, which generates revenues in excess of £15bn per year, is a global provider of technology that transforms business processes and information management to help organisations be more agile, productive and profitable.

MTI will continue to operate under its existing name as a separate Ricoh entity.

David Isaacs, associate director at Endless who has worked alongside MTI since investment, said: “We are extremely proud to have supported Scott, Angelo, Ben & Simon over the course of the last four years.

“The company has undergone a successful transformation under Endless’ ownership and has invested significantly in the development of its solution set, people, internal systems and operations.

“This successful transformation is underpinned by the numerous and well-deserved awards that MTI has received in recent years.

“Under Ricoh’s ownership, we strongly believe the business will go from strength to strength and create wider opportunities for growth and investment.

“We wish Scott and the management team, along with their new owners Ricoh, all the best for the future.”

Scott Haddow, CEO, MTI, said: “The management team are delighted to have worked alongside Endless for the last four years and they have backed us to deliver the transformation, which has resulted in this transaction today.

“Our mission is to help customers accelerate digital transformation by modernising their IT systems and refining IT operations with security assurance as standard and privacy by design.

“Becoming a Ricoh company means we can take this to the next level.”

Alberto Mariani, senior vice president, office services, Ricoh Europe, said: “This acquisition is a genuine game changer in the IT Services space and fits perfectly with Ricoh’s strategy to transform into a digital services company.

“MTI has a very strong and capable board of directors and European management team and they will all maintain their current roles and responsibilities.

“Their expertise, along with the company’s existing portfolio of services, supports our ability to offer an even more comprehensive breadth of IT and Digital Services.”

David Mills, CEO, Ricoh Europe, added: “This exciting acquisition enables us to expand our IT services expertise across EMEA and to build on our existing competences around data centre transformation, cyber security and other IT transformation offerings.

“We are acquiring a fast growing and agile IT Services company while inheriting a proven and dynamic leadership team.”

Endless and the management team were advised by Walker Morris, led by Debbie Jackson and Squire Patton Boggs, led by Jonathan Jones.

Ricoh was advised by Eversheds Sutherland, led by partner Richard Moulton, co-head of the Global Corporate and M&A team.