Mid-market private equity firm LDC has completed an investment to support the multi-million pound management buy-out of Connect Communications, a provider of telephone systems and unified communications channels to businesses across the UK, mainland Europe, Middle East and Africa.
Established in 1992, Connect Communications manages the day-to-day running of multi-site telecoms systems, via a state-of-the-art networks operations centre and a limited network of third party engineers.
Connect Communications’ software enables technical faults to be identified and rectified quickly and efficiently, before problems escalate.
High-profile global enterprises supported by the business on a pan-EMEA basis include Barclays, Coca-Cola, CSC and HP.
Headquartered in London, Connect Communications employs 55 people, and has a network of international operations, including offices in Paris and Frankfurt.
Having reported significant revenue growth in recent years, Connect Communications has an annual turnover of circa GBP10million.
The deal with LDC will provide further capital to help accelerate the continued expansion of Connect Communications, primarily through continued investment in its market-leading technology and service portfolio, whilst also facilitating the business’ growth with both existing and new customers here in the UK and across the EMEA region.
LDC has backed Connect Communications’ existing management team Martin Cross and David Rose, who will retain a significant shareholding, together with entrepreneur Alex Tupman who joins the business as chief executive. The transaction also enables the other two co-founding shareholders to fully exit the business.
Alex Clark, investment director at LDC, says: “Connect Communications is a well-established market-leading business, operating in a buoyant market that is being driven by consistent demand for highly technical telecoms systems maintenance by both SMEs and large corporates alike. The business provides a high-end service to its customer base across the UK and EMEA region, and is supported by a well invested infrastructure. We will be working closely with the management team, led by Alex Tupman, to execute the next phase of the business’ growth.”
Tupman says: “Connect Communications has well-invested intelligent infrastructure and toolsets within its service centre, with the capability to support enterprise clients on a global basis. The deal with LDC brings additional strategic and financial support to the business and going forward, we will be actively looking to invest further in the business’ asset light, but technology-rich, unique service capability, whilst also expanding the company’s global reach, channels and penetration of the enterprise space, as well as its existing service portfolio.”
