Vitruvian acquires Phlexglobal from BDC

As part of the deal, existing majority investor BDC exited the business after a two-year holding period. Financial details surrounding the transaction have not been disclosed.

According to a source familiar with the situation, BDC reaped a 3x money return on the sale for its BDC II vehicle. The company generated a compound growth rate of 21% for revenues and 31% for earning during BDC's ownership, when the business entered the Japanese and the US markets.

More recently, in January 2016, the company bolted on the outsourced software development partner, Net Solution Europe. According to the source, the acquisition doubled the software development resources available to the business.

According to a statement, Vitruvian aims to boost the company's growth through the expansion of its flagship technology platform, PhlexEview4.

According to a source, Vitruvian acquired thestake from its the Vitruvian Investment Partnership II fund, which closed in December 2013 at its hard-cap of £1bn.

Previous funding
In March 2011, Inflexion Private Equity acquired a controlling stake in the business from the founder and CEO Nicola Murgatroyd.

In 2014, Inflexion sold its majority stake to BDC for £42m, generating a 2.8x return on its original investment. As part of the transaction, Lloyds Bank Commercial Banking provided a senior debt package and working capital facilities to support the deal.

Under BDC's ownership, Phlexglobal is understood to have generated compound growth rates of 21% for revenue and 31% for earnings.

Company
Established in 1997, Phlexglobal develops a digital platform focusing on document management, regulatory understanding and technical expertise services for healthcare industries, including pharmaceutical as well as biotechnology businesses. The company is headquartered in Amersham, UK, and employs a staff of 300 across five offices with a presence in the US and Poland.

People
Vitruvian Partners – Philip Russmeyer (partner).
Bridgepoint Development Capital – Alan Payne (partner); Matt Legg (investment director).
Phlexglobal – Rick Riegel (CEO).

Advisers
Equity – BDO (corporate finance); Kirkland & Ellis (legal); Marlborough Partners (debt advisory); Marsh (insurance due diligence); Wardynski & Partners (legal).
Vendors – RW Baird (corporate finance); Travers Smith (legal); CIL (commercial due diligence); EY (financial due diligence, tax); Intuitus (other due diligence).
Management – Liberty Corporate Finance (corporate finance); Shoosmiths (legal).

• Tweet  
• Facebook  
• LinkedIn  
• Google plus  
• Send to  

• Topics
• Buyouts
• Exits
• Technology
• UK / Ireland
• Secondary buyout
• United Kingdom
• Bridgepoint
• Vitruvian Partners