Mayfair Equity Partners LLP has acquired a majority stake in UK-based IT and comms provider GCI. The investment includes the formation of a new strategic fund worth over £60 million, providing GCI with significant financial firepower to finance future strategic acquisitions.
Mayfair has purchased most of the equity held by chairman Wayne Martin, who will remain on the GCI board, and the full minority stake held by BGF, which has supported the business since 2012.
Over the last two years GCI has acquired Packet Media, Fusion Media Networks, Outsourcery, Freedom Communications, and Blue Chip Data Systems, taking the company’s revenues to £100 million.
“We’re excited to have Mayfair onboard as we embark on the next phase of the company’s growth,” said Adrian Thirkill, CEO of GCI. “Our immediate objective is to continue to fully integrate what we have and in the coming months we will see all GCI group companies operating under one brand with common systems and processes. This will significantly enhance our service offering to customers -making it easier for them to use more of our innovative and broad range of services. Whilst there are currently no significant gaps in our portfolio, we operate in a fast-changing market and the new £60 million fund will enable us to make strategic acquisitions over the coming months and years to add even more value to our customers.”
Mark Allen, CFO of GCI, said “The deal with Mayfair is the right one for all parties. It rewards Wayne and BGF for their long-term support of the company but equally means that we can continue to invest in building our headcount, systems, and support for customers. The £60 million fund will be held purely for financing strategic acquisitions and will be spent over the longer term as this fast-moving business evolves.”
“The ICT sector has seen impressive growth in recent years, with the UK IT services sector becoming increasingly attractive as customers dependence on suppliers increases through outsourcing mission critical systems and IT infrastructure,” said Waqqas Ahmad, a partner at Mayfair. “GCI is at the forefront of the industry, with a partnership-based ethos and customer service orientated philosophy that stands out in the market, alongside a product portfolio that is tailored to meet clients’ specific needs. We are delighted to be working with Adrian again and have already been very impressed with what he has accomplished since joining the business in less than three years. With our support and capital, we see GCI quickly becoming one of the largest ICT suppliers in the UK.”