H.I.G. Capital Actualité
Dr. Holger Kleingarn
Christian Kraul-von Renner
H.I.G. European Capital Partners GmbH
T: +49 40 41 33 06 100
H.I.G. Europe Announces the Sale of CONET
HAMBURG – October 26, 2021 – H.I.G. Capital (”H.I.G.”), a leading global alternative investment firm with over $45 billion of equity capital under management, is pleased to announce that an affiliate has signed a definitive agreement to sell CONET (the ”Company”) to IK Investment Partners. H.I.G. acquired a majority stake in the Company in 2017. The transaction is subject to clearance by the relevant antitrust authorities.
CONET is a leading digital transformation partner focused on public sector clients and with a dedicated SAP practice. The Company offers its blue-chip customer base services and solutions in the areas of IT consulting, software development and high-security IT operations. CONET, founded in 1987 and headquartered in Hennef, Germany, employs over 1,100 specialists across 13 locations in Germany, Austria and Croatia.
With the support of H.I.G., the Company implemented a comprehensive expansion strategy both organically and through acquisitions. CONET benefitted from H.I.G.’s substantial expertise and extensive network in the IT services sector as well as its experience in successfully executing buy-and-build strategies. After H.I.G.’s initial investment in 2017, CONET completed three strategic acquisitions which broadened its service offering. During the past four years, CONET‘s management more than doubled the Company’s revenue and strengthened the Company’s position as a leading, integrated and trusted partner for the digital transformation of its diversified customer base.
Anke Höfer, CEO of CONET, said: “H.I.G.’s trustworthy and supportive guidance was an essential element for CONET to continue its exceptionally successful growth by expanding geographically and by adding additional IT and consulting solutions. Together, we have successfully grown CONET into a leading and trusted digital transformation partner for our customers. I would like to thank H.I.G. for their strong engagement over the past few years.”
Dr. Holger Kleingarn, Managing Director at H.I.G., said: “We are delighted to have supported CONET in its successful growth trajectory towards a leading digital transformation provider. CONET demonstrates H.I.G.’s ability to develop companies through a sustainable combination of organic growth and acquisitions, while at the same time further optimizing the service portfolio to offer integrated solution for customers.”
Christian Kraul-von Renner, Managing Director at H.I.G. said: ”The cooperation between CONET’s management team and H.I.G. has been excellent. Today, the Company is perfectly positioned for further growth, and we wish the management team continued success in the future.”
The parties have agreed not to disclose further details of the transaction.
CONET has been a trusted IT partner for SAP, infrastructure, communications and software development since 1987. According to the latest survey by leading German IT publication Channelpartner, CONET is ranked #2 among medium-sized German IT systems and consulting companies. Customers from industry and commerce, the public, as well as defense and security sectors alike, value CONET‘s commitment to quality. CONET’s product solutions for Critical Control Room Communications, Customer Collaboration, Enterprise Content Management and Business Process Management are in use worldwide. CONET currently employs more than 1,100 businesses and IT specialists at 13 locations throughout Germany, Austria and Croatia. For more information, please refer to the CONET website at www.conet.de.
About H.I.G. Capital
H.I.G. is a leading global alternative assets investment firm with over $45 billion of equity capital under management.* Based in Miami, and with offices in New York, Boston, Chicago, Dallas, Los Angeles, San Francisco, and Atlanta in the U.S., as well as international affiliate offices in London, Hamburg, Madrid, Milan, Paris, Bogotá, Rio de Janeiro and São Paulo, H.I.G. specializes in providing both debt and equity capital to small and mid-sized companies, utilizing a flexible and operationally focused/value-added approach:
- H.I.G.’s equity funds invest in management buyouts, recapitalizations and corporate carve-outs of both profitable as well as underperforming manufacturing and service businesses.
- H.I.G.’s debt funds invest in senior, unitranche and junior debt financing to companies across the size spectrum, both on a primary (direct origination) basis, as well as in the secondary markets. H.I.G. is also a leading CLO manager, through its WhiteHorse family of vehicles, and manages a publicly traded BDC, WhiteHorse Finance.
- H.I.G.’s real estate funds invest in value-added properties, which can benefit from improved asset management practices.
- H.I.G. Infrastructure focuses on making value-add and core plus investments in the infrastructure sector.
Since its founding in 1993, H.I.G. has invested in and managed more than 300 companies worldwide. The firm's current portfolio includes more than 100 companies with combined sales in excess of $30 billion. For more information, please refer to the H.I.G. website at www.higcapital.com.
* Based on total capital commitments managed by H.I.G. Capital and affiliates.