Exit Announcement - Impero

News: Investment News | 1 August 2017

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Connection Capital sells pioneering EdTech company to Investcorp Technology Partners for £27.5m, delivering up to 3.1x value growth for private investors.

  • Education software business Impero triples in value in three years after Connection Capital clients backed its £9m MBO.

Connection Capital, the specialist private client investment business, has sold Impero, a pioneering EdTech company to private equity group Investcorp Technology Partners for £27.5million, delivering strong value growth to its private investor clients.

The deal has seen Impero, an education software provider, triple in value since Connection Capital’s clients backed its £9million management buyout (MBO) in 2014, with further funding provided in 2015.

Impero provides online safeguarding software to educational establishments around the world. The investment by Connection Capital’s clients enabled the company to strengthen its management team, build UK market share to a leading position and establish growth in overseas territories.

Founded in 2002, its software is now accessed by over 1.5 million devices in more than 90 countries, including over 1,400 UK secondary schools and schools in more than 500 US districts. It is headquartered in Nottingham, UK with an office in California.

Impero’s product suite is designed to support teachers using technology in the classroom to drive student outcomes, and to enable school or college IT managers to run their networks more efficiently. Impero’s offering also boasts sophisticated software to help protect students online.

Bernard Dale, Partner at Connection Capital, says, “Impero is a great example of the powerful benefits an MBO can deliver – for the company, its management team who want to use the change of ownership and new capital to drive their business forward and for private investors who want to back them.”

“When we invested in Impero three years ago, it was an opportunity for our clients to back the continued development of best-in-breed education software which addressed huge market potential.”

“Today, in an increasingly crowded marketplace, the business is performing extremely well, with a strong roadmap of product enhancements and a pipeline of new contract opportunities in the US and globally, as well as a market-leading presence in the UK. As the EdTech space continues to develop and grow, we wish Impero well as it develops its strategy under its new ownership.”

Sam Pemberton, CEO of Impero, says: “Connection Capital’s support has enabled us to drive innovation forward and establish a premier position in the EdTech arena. Having achieved everything we set out to achieve with Connection Capital, we are now looking forward to delivering on our next set of business goals with Investcorp Technology Partners. Impressed by Investcorp Technology Partners’ knowledge of our sector, enthusiasm and deep understanding of our business and commitment to growth, we are keen to capitalise on their expertise in the EdTech space and deliver Impero’s next set of business goals together.”

Commenting on the investment, Gilbert Kamieniecky, Managing Director of Investcorp, said, “The mission critical nature of Impero’s product offering, its strong reputation with customers and its attractive growth prospects in the UK and abroad represent a very attractive investment opportunity for Investcorp Technology Partners. Its best-in-class safeguarding software and high levels of recurring revenue have allowed it to secure a leading market position. These fundamental business strengths make it an ideal candidate for Investcorp Technology Partners to partner with.”