Add-on Acquisition • Software

Adapt IT Group Acquires CQS Technology Holdings

On January 27, 2016, Adapt IT Group acquired software company CQS Technology Holdings from Ethos Private Equity

Acquisition Context
  • This is Adapt IT Group’s 1st transaction in the Software sector.
  • This is Adapt IT Group’s 1st transaction in South Africa.

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M&A Deal Summary

Date January 27, 2016
Target CQS Technology Holdings
Sector Software
Buyer(s) Adapt IT Group
Sellers(s) Ethos Private Equity
Deal Type Add-on Acquisition

Target Company

CQS Technology Holdings

Johannesburg, South Africa
CQS is a highly differentiated distributor, has a large, blue chip client base whose customers range from audit and financial professionals to listed companies and government bodies. The CQS client footprint extends up into Africa and includes Kenya, Nigeria, Namibia, Botswana, Malawi, Tanzania, Zambia and Uganda. CQS’s solutions include CaseWare® - a leading supplier of software solutions to accountants and auditors worldwide and ACL®, the leading global provider of data analytics and continuous monitoring software.
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Buyer Overview 1

Buyer

Adapt IT Group

KwaZulu-Natal, South Africa

Category Company
Sector Information Technology
DESCRIPTION

Adapt IT Group is an innovative information technology (IT) services and specialised solutions provider, delivering IT solutions to some of the most successful Manufacturing, Financial Services, Education and Energy organisations in over 24 countries worldwide.


Deal Context for Buyer #
Overall 1 of 2
Sector: Software 1 of 2
Type: Add-on Acquisition 1 of 2
Country: South Africa 1 of 2
Year: 2016 1 of 1
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2017-05-10 Micros South Africa

Gauteng, South Africa

Micros South Africa (Pty) Ltd. is a provider of integrated software and hardware solutions to the hospitality and retail industries in South Africa and Africa. Micros has over 20 years experience and over 300 employees specialising in the resale, support and deployment of software and hardware products along with rapidly growing cloud solutions and the provision of professional services for the hospitality industry.

Buy -

Seller Profile 1

SELLER

Ethos Private Equity

Illovo, South Africa

Category Private Equity Firm
Founded 1984
PE ASSETS 1.2B USD
Size Large
Type Sector Agnostic
DESCRIPTION

Ethos Private Equity is a private equity investor that targets opportunities in South Africa. Ethos looks for stable businesses valued between $15 and $100 million US. Target transactions include divestitures of non-core assets, sector consolidations, development of family owned businesses, growth financings, and turnarounds. Ethos was formed in 1984 and is based in Johannesburg, South Africa.


Deal Context for Seller #
Overall 21 of 25
Sector: Software 1 of 1
Type: Add-on Acquisition 10 of 13
Country: South Africa 21 of 22
Year: 2016 1 of 2
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2016-01-25 Eazi Access

Waterfall City, South Africa

Eazi Access provides “work-at-height” solutions to various sectors across the economy, through the rental and distribution/sale of mobile, high-access equipment, or Mobile Elevated Work Platforms. Eazi Access was founded in 2003 and is based in Waterfall City, South Africa.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2016-06-17 Brandcorp

Johannesburg, South Africa

Brandcorp is a value added distributor of niche industrial and retail products. The company operates three divisions: Tools & Hardware (trading as Matus), Leisure & Accessories (trading as Interbrand) and House & Home (trading under MIC, Prestige, Decocraft and Moto Quip).

Sell -