VISEO, a French IT services group, supports companies in their IT and digital transformation plans. Its subsidiary VISEO Asia had grown successfully to a headcount of more than 100. However, VISEO wanted to accelerate its development as well as strengthen local capabilities of Salesforce-based services through an acquisition, so engaged Equiteq to assist them with the process. VISEO acquired NAIT Consulting, a premium Salesforce consulting partner after Equiteq had identified them as the right fit for VISEO.
The client's situation
Headquartered in Paris and specializing in digital experiences, new technologies, business processes and data, VISEO has a team of 1,300 professionals working on four continents, with annual revenues of more than €150m in 2017.
Over the past few years VISEO’s subsidiary VISEO Asia had been successfully developing their activities in Asia-Pacific, growing the team size to more than 100 in Singapore, the Philippines, Hong-Kong and Australia, with a main focus on digital expertise and SAP solutions. While the organic growth of VISEO Asia had been quite healthy, VISEO wanted to accelerate its development as well as strengthen the local capabilities of Salesforce-based services.
When scanning the Singapore market for Salesforce specialists, Equiteq screened the possible targets not just on technical competences and reputation, but also on the cultural compatibility and complementarity with VISEO.
Shareholder exit goals & deal rationale between buyer & seller
VISEO had three objectives with this acquisition project:
1) Add a new competency to the service offering, in the form of Salesforce solutions;
2) Boost the healthy organic growth with additional external growth to reach critical mass more quickly; and
3) Get valuable experience in terms of completing an acquisition far away from its home base.
The two founders of NAIT Consulting wanted to not only leverage NAIT’s Salesforce competences more efficiently and on a larger scale but also join an organization that would still have a distinct entrepreneurial spirit.
How did Equiteq deliver value to the client?
- Ensured cultural compatibility: Equiteq selected founders and team members that had a strong professional background in leading international consultancies.
- Produced a deal structure that created the right dynamics: The earn-out mechanism that was implemented was based, not on the individual performance of NAIT Consulting, but on the development of the whole Salesforce-based business across the region.
- Addressed the legal and corporate complexities with flexibility and pragmatism: NAIT Consulting had a subsidiary in Indonesia, where companies law and other regulations make it relatively cumbersome for a foreign investor to acquire a local company; the approach retained was to avoid rushing into changes before the closing and instead agree to implement them in the year following the completion of the main transaction.
- Provided the client with comprehensive, end-to-end support, covering all aspects of the deal, from the most technical to the most mundane, and coordinating all the parties involved, including other professional advisers.
Read the press release on this deal here.