martinwolf Transaction Analysis

Financial Information Not Disclosed

Transaction Facts

• Aurelius AG (XTRA:AR4), a private equity firm specializing in European growth opportunities, announced today that it acquired the remaining 22 percent of information and communication technology (ICT) services provider Getronics following an initial majority investment in 2012.
• The outstanding shares were purchased from Dutch telecommunications provider Royal KPN (ENXTAM:KPN), which first invested in Getronics in 2007.
• While no financial components to the transaction were disclosed, the Aurelius management team announced in the press release that Getronics has grown its revenues and increased its profitability over the previous two years, and that it expects Getronics to grow at a faster rate than the market.

A History of Consolidation

• Touching All Corners of the Globe: Getronics has spent the last several years spinning off various components and geographies including operations in Israel, Central Europe, France, Japan, Australia, and the United States. Acquirers are typically established local IT services providers – Getronics’ US Operations were acquired by CompuCom in 2008.
• Going Smaller Means More Freedom: Consolidation has resulted in Getronics being able to focus on effecting a transition in its remaining operations. While the company was once a provider of lower-end services, it has since developed broader service offerings and has expanded the proportion of total revenues sourced from cloud, unified communications and applications. The result has been faster growth and higher profitability.
• Cementing a Proven Relationship: Since Aurelius made its minority investment in Getronics in 2012, the company has been able to integrate Aurelius’s pre-existing IT subsidiaries and achieve both strong customers and meaningful scale. Going forward, expect the company to leverage Aurelius’s reputation and support to continue relationships with IT leaders like Dell, Cisco and Microsoft.