Strong exit in Forte for Verdane ETF III
Helsinki — Verdane ETF III (Verdane) sells Forte Netservice Oy (Forte) to DNA Ltd, Finland’s third largest telecoms operator. Forte is a leading Finnish provider of outsourced data communication and network security services. This is the first company Verdane sells in the Finnish market.
Forte, a company that delivers data communications and security services was founded in 2000 and has grown profitably since day one. It is expected to deliver €8m of in sales in FY 2011. The company’s services are available in 60 countries on six continents.
“We are thrilled to close this deal for Forte so shortly after Verdane Capital VII’s investment. This is a great way to conclude the work that Eqvitec Partners initiated in 2008” says Henrik Aspén, Partner at Verdane Capital Advisors and responsible for the firm’s activities in Finland. “With the sale, a meaningful portion of the transaction price is returned to investors.”
Verdane ETF III, formerly Eqvitec Technology Fund III (ETF III), was formed in March in a secondary direct transaction with Verdane Capital VII. Since the transaction, both funds are advised by Verdane Capital Advisors.Verdane is currently Forte’s largest investor, alongside key personnel. Since ETF III’s investment in 2008, a number of initiatives have strengthened Forte’s position, including entry into the Russian market, improved customer service, more focused sales activities around major accounts and a strengthened product portfolio through new product launches.
“Forte is a significant player in its market and complementary to DNA through its strength in the large enterprise segment” says Juho Aminoff at Verdane Capital Advisors. “Combining the offering of the two companies makes a very compelling case.”
Through the acquisition, DNA is looking to strengthen its position in the corporate services space and expand its offering, especially in the growing network-based managed services domain. The transaction also enables Forte, as part of DNA, to serve its customers with more comprehensive services. Additionally, DNA can offer Forte services to its large small-to-mid sized business customers.
We are thrilled to close this deal for Forte so shortly after Verdane Capital VII’s investment. This is a great way to conclude the work that Eqvitec Partners initiated in 2008.
About the Verdane ETF III secondary direct transaction
Verdane ETF III SPV was formed in March 2011 when Verdane Capital VII acquired the interests of certain LPs in Eqvitec Technology Fund III. Verdane Capital Advisors simultaneously replaced Eqvitec Partners as exclusive advisor to the fund and follow-on capital was set aside for compelling investment opportunities in the fund’s portfolio companies.
+46 702 44 20 83
+358 41 4340 669