Apax Global Alpha to invest EUR 29m in Veriforce
(AGA) announced an expected investment of €29m in supply chain risk management specialist Veriforce on Thursday.
The London-listed firm said the investment was part of a larger transaction in which the Apax XI Fund, where AGA is a limited partner, had reached a definitive agreement to acquire a controlling stake in Veriforce.
It said the deal was pending customary regulatory approvals.
Veriforce, based in the United States, is one of the world's largest providers of integrated supply chain risk management solutions, with a significant presence in the US, Canada, and the UK.
Its services were designed to enhance safety and compliance within supply chains by verifying contractor services for hiring organisations.
Veriforce operates in more than 140 countries, and has seen substantial growth since 2018, expanding its client base from 115 to over 1,300 and increasing its contractor network from 9,500 to more than 90,000.
The company's workforce had also grown significantly, now numbering over 530 employees.
"The SCRM sector is still a relatively new industry and it is highly fragmented," said Apax partner Frank Ehmer.
"Veriforce has a strong reputation and market position in the US and we see an opportunity to partner with the Veriforce team to drive further organic growth, while continuing to scale the business internationally and into new verticals."
AGA said its investment in Veriforce reflected its broader strategy of providing shareholders with access to a diversified portfolio of private equity funds managed by Apax, along with a targeted portfolio of debt investments.
At 1147 BST, shares in Apax Global Alpha were up 0.77% at 149.14p.
Reporting by Josh White for Sharecast.com.
Disclaimer & Declaration of Interest
The information, investment views and recommendations in this article are provided for general information purposes only. Nothing in this article should be construed as a solicitation to buy or sell any financial product relating to any companies under discussion or to engage in or refrain from doing so or engaging in any other transaction. Any opinions or comments are made to the best of the knowledge and belief of the writer but no responsibility is accepted for actions based on such opinions or comments. Vox Markets may receive payment from companies mentioned for enhanced profiling or publication presence. The writer may or may not hold investments in the companies under discussion.