decor decor
"The most important thing in communication is hearing what isn't said."

-Anonymous

Clearlake Capital to Acquire ConvergeOne from Genstar Capital

martinwolf Transaction Analysis
Financial Information Not Disclosed 

Transaction Facts

  • ConvergeOne, a provider of communications solutions and managed services to global enterprises, announced today that it was being acquired by Clearlake Capital, a private equity firm.
  • ConvergeOne is currently a portfolio company of Genstar Capital, which first invested in ConvergeOne in 2007.
  • Financial information for the transaction was not disclosed.

Active Players in an Active Space

  • Trading Places: This deal continues a trend of secondary PE buyouts, seen most recently with yesterday’s acquisition of Peak 10 by GI Partners from Welsh Carson. Genstar oversaw a period of mostly organic growth for ConvergeOne in the past seven years, and now Clearlake is looking to continue the momentum while growing its own investment.
  • Growing Demand: ConvergeOne is one of the largest Avaya channel partners worldwide and has an increasing presence in UCaaS. We’re seeing a continued demand for this type of cloud-based communication and with that a growing amount of competition in the space. The sector is becoming increasingly crowded with traditional manufacturers like Cisco, Brocade, Siemens, and Alcatel Lucent all vying to remain relevant while companies from Microsoft and Google to 8×8 and Evolve IP continue to challenge the status quo.
  • A History of IT Investment: Both Clearlake and Genstar have a history of involvement and recent investment in the IT space. Genstar, which has approximately $3 billion in capital under management, recently sold its interest in TravelClick, a cloud-based solution for hotel companies. Clearlake, which through a subsidiary acquired communications solutions provider Veramark in 2013, merged it with two other firms to create Calero Software.

For more information, click here for the press release. martinwolf was not the advisor in this transaction.

previous post Back to Articles next post

24 Apr 2024

Celestica (NYSE: CLS) to Acquire NCS Global from Heritage Holding

Financial Information Enterprise Value: $36M (and a possible earnout payment should certain post-closing financial conditions be met) Transaction Details Celestica has entered into a definitive agreement to acquire NCS Global, a US-based IT infrastructure and asset management business. The transaction is expected to close in May 2023 or earlier, subject to satisfaction of customary closing...

02 Apr 2024

CD&R to Acquire Presidio from BC Partners

Financial Information Not Disclosed Transaction Details Clayton Dubilier & Rice (CD&R) and BC Partners announced on April 2, 2024, that they have entered into a definitive agreement under which CD&R will acquire a majority ownership of Presidio. Funds affiliated with BC Partners will retain minority ownership interest. The transaction is expected to close in the...

06 Feb 2024

NWN Carousel acquired by American Securities

Financial Information Revenue: Approx. $900 million Enterprise Value: N/A Transaction Details NWN Carousel announced a transition of ownership from New State Capital Partners to affiliates of American Securities. This transition represents the success of significant investment, organic growth, M&A execution, operational excellence and innovation under ownership of New State Capital Partners. NWN Carousel developed a...