Tuesday 11 December 2018

Version 1 raises €90m to boost expansion

Version 1 expects to have revenues of €100m this year. (stock photo)
Version 1 expects to have revenues of €100m this year. (stock photo)
Gavin McLoughlin

Gavin McLoughlin

IT services company Version 1 has raised €90m in fresh capital to drive expansion in the UK and Europe. The money comes from Volpi Capital, a UK-based private-equity firm run by Irishman Crevan O'Grady.

The announcement was made two weeks after the Sunday Independent reported the company had been talking to British and Irish private-equity houses about raising money with a view to a potential acquisition by year end.

The deal will see the BDO Development Capital Fund - backed by Enterprise Ireland, Bank of Ireland and CRH among others - exit the business with a 250pc return after three years.

All the original shareholders remain on board, including co-founder Justin Keatinge, who has just stepped down as chief executive and was replaced by Tom O'Connor, who was promoted from chief operating officer.

Version 1 expects to have revenues of €100m this year.

"We anticipate further strong organic growth in Ireland and the UK, together with more acquisitive growth in the UK and in Europe as we continue to build the Version 1 brand and prove our mission that IT can make a real difference to our clients' businesses," O'Connor said.

"With much speculation abounding about the impact of Brexit, we firmly believe that there continues to be massive opportunities for well run, customer-focused Irish firms to expand and grow internationally."

O'Grady said the company's "specialist offering, plans for acquisitive growth and desire to internationalise make it an excellent fit" for Volpi. The deal is Volpi's first Irish investment and its largest to date.

Sunday Indo Business

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