Technology · Realised
Readify
A buy-and-build in software application development.
At a glance
Sector
Technology
Invested
August 2013
Realised
June 2016
Status
Realised
Acquired by
Telstra
The headline
60
Acquisition targets approached
2
Strategic acquisitions completed
3yrs
Held, 2013 to 2016
Background.
- An IT services business specialising in application development, based in Melbourne with offices across Australia.
- The team invested in August 2013 and again in June 2014 to fund growth initiatives including acquisitions.
- A proprietary and exclusive deal from Fortitude's network.
Our investment thesis.
- Execute a buy and build in Australia's fragmented IT services sector, with Readify as the platform.
- Development staff universally recognised as industry leaders, named Microsoft Partner of the Year for Australia in 2013 and again in 2015.
- Strong and aligned senior management, with chief executive Graeme Strange retaining his twenty-five per cent of the business.
- Low capital requirements and high yields, with several exit paths available including an IPO.
Our results.
- Around sixty priority acquisition targets were identified and approached, and two strategic acquisitions were completed.
- Growth and cash generation continued through the hold.
- Significant investment went into management: a chief financial officer, new developer talent, a modernised sales function and a second tier of management.
- The business was sold to Telstra in June 2016.
Past performance is not a reliable indicator of future performance, and figures drawn from individual deals executed on a deal-by-deal basis are not representative of a pooled fund. Wholesale investors can request the full record.
Could this be your next chapter?
If you are a founder weighing up a partner, see what the journey looks like, or start a conversation, in confidence and with no obligation.