Exertis IT has been sold by DCC Tecnology to private equity firm AURELIUS, pending regulatory approval.
Financial terms have not been disclosed but are estimated to be around £150 million, based on annual revenues and EBITDA. The divestment is expected to be earnings neutral for DCC Technology, which plans to use the proceeds to reduce debt and reinvest in growth areas.
The businesses included in the deal are Exertis UK Business and Consumer divisions, Hypertec, Exertis Supplies, Exertis Ireland, Macro EV, Exertis Supply Chain Services, MTR, and Ztorm.
The sale allows parent company DCC Technology to focus on the faster-growing Pro Tech and Life Tech sectors.
Tim Griffin, CEO at Exertis IT said: “We are delighted to have found new owners who are committed to accelerating our growth, and that of our partners through dedicated focus and investment. I firmly believe this sale positions Exertis IT for long-term success and provides greater opportunities for our vendors, customers and our people. It’s business as usual for us providing an exceptional portfolio and industry-leading operations.”?
“The transaction is expected to complete in the fourth quarter of this calendar year, subject to regulatory clearance and DCC remains firmly committed to supporting the Exertis IT businesses during this time, ensuring a successful transition to the new owne”.
DCC announced seven months ago it planned to get out of the IT distribution sector and to put Exertis up for sale.
AURELIUS is a Munich-based set up n 2005 by Dirk Markus and Gert Purkert and has grown into a prominent global investor with around 300 deals iunder its belt. It specialises in mid-market buyouts of companies with annual revenues of at least €100 million.Their style is to make operational improvements, with round180 in-house specialists who work on post-acquisition growth.
DCC Technology acquired Exertis in 2021 and positioned the company as one of Europe’s largest tech distributors. The Info Tech segment serves traditional IT hardware and consumer channels, but DCC now intends to concentrate its resources on specialist areas such as professional AV (Pro Tech) and Life Tech solutions, where it sees stronger growth potential and higher margins.
DCC’s Pro Tech and Life Tech portfolio includes leading North American brands JAM and Almo, its UK-based Exertis Enterprise and Cloud operations, and specialist AV and infrastructure businesses across Europe, including Connect, Azenn, Amacom, AV DACH, AV Italy, Exertis Nordics, and AV Spain.
Clive Fitzharris, CEO of DCC Technology, said:
“Today’s announcement represents an important step for DCC Technology as we sharpen our focus on Pro Tech and Life Tech. We are the largest specialist professional AV distributor globally, serving numerous Pro Tech verticals across North America and Europe. Coupled with our growing Life Tech offerings, this positions us well to capture significant opportunities in technology that enhances experiences and improves lifestyles. I’d like to thank all our people and partners for their ongoing support as we continue to grow togetheExerti
The move reflects wider trends in IT distribution sector, where companies are increasingly prioritising specialist, value-added services over traditional IT distribution which faces intense price competition and channel consolidation.
