CapVest Acquires Kerridge Commercial Systems: A Game-Changing Move in SaaS ERP Solutions

In a major industry move, CapVest Partners LLP, an international private equity firm, has announced its acquisition of Kerridge Commercial Systems (KCS). KCS is a leading global provider of enterprise resource planning (ERP) software for distribution, servicing, and rental businesses. The acquisition is set to solidify CapVest's position as a key player in the mission-critical SaaS market. With KCS's industry-specific cloud software suites and global customer base, this partnership is poised for exceptional growth and market expansion.

KCS has established itself as a dominant force in the ERP industry, serving over 32,000 customers across more than 70 countries. The company's software solutions support complex workflows in various industries, including building materials, food and beverage, automotive, IT and electronics, construction and engineering, media, and pharmaceuticals. By enabling effective sourcing, efficient stock management, profitable sales, and competitive servicing, KCS has become a trusted partner for businesses ranging from large enterprises to SMEs.

Under the leadership of CEO Ian Bendelow, KCS has pursued an ambitious growth strategy that includes 18 successful acquisitions. This strategy has not only expanded the company's software-as-a-service (SaaS) revenue but has also enriched its offerings with additional functionality and services through layered application products. With CapVest's extensive track record of transforming portfolio companies, this partnership promises to bring KCS's growth plans to fruition.

Ian Bendelow, CEO of KCS, expressed his excitement about the acquisition, stating, "This is an exciting announcement for the whole KCS team, which will further solidify our position as a leading provider of mission-critical vertically focused SaaS globally. We operate in a fragmented and growing £3.4bn addressable market with significant whitespace opportunities as companies digitalize processes and migrate to the cloud. CapVest's long track record of transforming the size and scale of its portfolio companies makes CapVest an ideal and exciting partner for us in pursuing our ambitious plans for the future."

Fred Raikes, Principal at CapVest, also shared his enthusiasm for the partnership, saying, "We believe that KCS is well positioned to accelerate growth in the coming years, capitalizing on the ongoing demand for cloud ERP. The company's reputation for best-in-class vertical-specific product functionality, quality, and reliability will serve as a strong foundation for its expansion. We look forward to working with Ian and the team to continue to expand the platform via M&A, as well as bringing additional innovative cloud products to market to address customer needs globally."

The acquisition of KCS by CapVest was facilitated by a team of reputable advisors, including Evercore as the financial advisor, Willkie Farr & Gallagher LLP for legal counsel, Kirkland & Ellis for financing, KPMG for financial and tax services, EY-Parthenon for commercial expertise, West Monroe for technical due diligence, and Marsh for insurance.

The transaction is subject to customary regulatory approvals and closing conditions and is expected to be finalized later this year.

About CapVest:

CapVest is a leading international private equity investor that partners with ambitious companies supplying essential goods and services to transform their businesses. With an active and patient investment approach, CapVest has a proven track record of delivering attractive returns. By working closely with management teams, CapVest focuses on organic and acquisition-led growth to transform the size and scale of its portfolio companies.

For more information, visit www.capvest.com.

About KCS:

Kerridge Commercial Systems (KCS) specializes in providing fully integrated trading and business management solutions to the distributive trades worldwide. With over 32,000 customers, including manufacturers, wholesalers, distributors, merchants, and rental companies, KCS aims to design and deliver high-performance, integrated ERP solutions. Their mission is to enable customers to source effectively, stock efficiently, sell profitably, and service competitively.

Headquartered in Berkshire, United Kingdom, KCS has a global presence with approximately 1,100 employees across 19 cities and 11 countries, including the UK, USA, Australia, Canada, South Africa, Kenya, Belgium, the Netherlands, Sweden, Finland, and Ireland.

In conclusion, the acquisition of KCS by CapVest represents a game-changing move in the SaaS ERP industry. With CapVest's expertise in transforming companies and KCS's leading position as a provider of mission-critical software solutions, this partnership is poised to deliver significant growth and innovation in the global market. Businesses across various industries can expect enhanced efficiency, profitability, and competitiveness as a result of this collaboration.