Apax Partners and funds of NB Renaissance are selling stakes in Engineering Group to Bain Capital in a deal that values the IT services company at more than €1.6 billion, a source familiar with the deal told PE Hub.
As part of the deal, certain funds of NB Renaissance will invest new equity in the company alongside Bain, the source said. Apax will exit its position in Engineering in full, the person said.
Rothschild & Co advised Apax and the selling funds of NBRP on the transaction.
Engineering, based in Rome, designs, develops and manages innovative IT services for business areas impacted by digitalization.
In 2016, Apax, NBRP, founder Michele Cinaglia and key senior managers acquired Engineering in a take-private transaction, through which the business delisted from the Milan Stock Exchange.
Since then, Engineering’s revenue and EBITDA have both grown by more than 11 percent, reaching €1.3 billion and €160 million respectively, according to the company. Engineering’s workforce has also increased by approximately 3,000 people, reaching approximately 11,000 today.
During the Apax’ four-year hold, Engineering completed 19 acquisitions both in Italy and abroad.
Elsewhere, Apax has started a stake sale process for ECi Software, a provider of cloud-based business application software and enterprise resource planning (ERP) technology to small and medium-size businesses in the manufacturing, building and construction, field service and distribution markets.
Apax is looking to command a price for the stake sale that assigns ECi a total valuation of $2.5 billion, sources familiar with the deal recently told PE Hub.
Action Item: View Apax Partners’ form ADV.