Alantra advises Inflexion on its investment in Systal



Mar 2021
Buy-side advisory

Alantra, the independent global mid-market investment bank, has advised private equity firm Inflexion on its minority investment in Systal Technology Solutions (“Systal”), a leading managed network services provider.

Systal is a dynamic and innovative technology provider that delivers tailored solutions to its clients. Founded in 2008, the Glasgow-based business is present in the US and Asia. Owner-managed since inception, Systal offers a high-quality, mission-critical managed network service from its 24/7 network operations centre, to service clients’ IT networks globally. The firm counts Coca-Cola European Partners, WPP and Jones Lang LaSalle among its clients.

The business has experienced rapid growth, driven by the increase in businesses migrating to cloud, which has been accelerated by the pandemic and the work-from-home phenomenon. Inflexion will support the business’ growth including further expanding its service offering and international footprint.

The Alantra team comprised James Chapman-Andrews, Tom Stoten and Tom Nash.

This transaction is the latest in a series of IT services deals advised by Alantra including the sale of ECS to Global Logic, the sale of Sol-Tec to Content + Cloud and Perwyn’s investment in Agilitas. Dealmaking in the technology sector remains extremely active; Alantra’s global technology team has completed over 30 transactions in the last 12 months.

James Chapman-Andrews, partner and UK Head of Technology at Alantra, said: “Systal has demonstrated exceptional growth and is incredibly well positioned to capitalise on the potential growth in the IT managed services market, as we continue to see increased demand for IT and cloud solutions from business customers from SMEs to enterprises. With Inflexion’s support, Systal has a great opportunity to build on this momentum and increase its market position. We wish Inflexion and Neil and his team the best of luck in their new partnership.”

Neil Nicolson, CEO of Systal, commented: “Inflexion’s presence in our key markets of Asia and the US combined with their deep technology understanding make them the ideal partner for Systal as we look to grow our business at home and internationally. We look forward to working together with Inflexion to accelerate our growth.”

Simon Turner, Managing Partner of Inflexion, added: “There is great opportunity for managed network providers as IT networking migrates to the cloud, leading to a large and growing market for their services. Systal is already well placed to take advantage of this, and we look forward to working with management to further enhance their offering in the UK and overseas.”  

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