H.I.G. Capital News
Dr. Holger Kleingarn
H.I.G. European Capital Partners GmbH
T: +49 40 41 33 06 100
H.I.G. Europe Exits Infinigate to Bridgepoint Following Successful European Expansion
HAMBURG – March 15, 2021 – H.I.G. Capital (“H.I.G.“), a leading global alternative investment firm with over €35 billion of equity capital under management, is pleased to announce that an affiliate has signed a definitive agreement to sell Infinigate (the “Company”) to Bridgepoint, an international alternative asset fund management group. H.I.G. acquired a majority stake in the Company in 2017. The transaction is subject to clearance by the relevant antitrust authorities.
Infinigate, founded in 1996, is a leading specialized value-added distributor (“VAD”) for cybersecurity and cloud solutions for the SME segment. The core of Infinigate’s business is software distribution – acting as a sales multiplicator between vendors and resellers, giving market access to disruptive vendors, and providing value-added services, such as technical support, trainings, and marketing support to vendors and resellers. Infinigate focuses on strongly growing cybersecurity and cloud segments and supports its multinational software vendors in their expansion throughout Europe by providing a network of more than 10,000 resellers.
With the support of H.I.G., the Company implemented a comprehensive European expansion strategy. Infinigate benefited from H.I.G.’s substantial expertise and extensive network in the technology sector, and from its experience in successfully implementing buy and build strategies. It acquired Dutch cyber security VAD Crypsys in 2017 to expand into the Benelux markets. It subsequently acquired acmeo, a German specialist distributor for the Managed Security Service Provider (“MSSP”) segment to expand into the cloud segment. During the past four years, Infinigate‘s management successfully managed to double the Company’s revenue. Today, the Company has more than 450 employees and is present in eleven European countries – including the DACH region, Benelux, France, the UK and the Nordic countries.
David Martinez, Chairman of the Board and founder of Infinigate, said: ”The close, trusting and successful cooperation with H.I.G. was key for Infinigate to continue its exceptional success story and to tap into additional markets on the continent. Together, we have successfully transformed Infinigate and established the Company as the European leader in the field of cybersecurity solutions. I would like to thank H.I.G. for their support these past few years and look forward to accompany the Company’s next chapter with Bridgepoint, our future investor.”
Klaus Schlichtherle, CEO of Infinigate, added: “Together with H.I.G., we have succeeded in further strengthening Infinigate’s position as a leading VAD in Europe and look forward to partnering with the team at Bridgepoint to continue with our growth strategy and take the business to the next level.”
Dr. Holger Kleingarn, Managing Director at H.I.G., commented: “We are delighted that we were able to support Infinigate on its successful growth trajectory towards a true European market leader. Infinigate demonstrates H.I.G.’s ability to develop companies through a sustainable combination of organic growth and acquisitions. Infinigate is perfectly positioned for further growth on a global scale, and we wish the management team continued success in the future.”
The parties have agreed not to disclose further details of the transaction.
Infinigate was founded in 1996 as the first European distributor for internet technologies. Since the turn of the millennium, Infinigate has specialized exclusively in the distribution of cyber security solutions for sustainable protection of IT networks, servers, end devices, data and applications. With the acquisition of acmeo, the security competence of the group was extended to the cloud and MSSP (Managed Security Service Providing) business. As a true VAD, Infinigate focuses on innovative and explanation-intensive solutions for enterprises and provides manufacturers and partners (resellers, IT integrators, system houses, etc.) with a range of additional services in the areas of technology, marketing and sales. After several successful market entries and acquisitions, Infinigate intends to continue its geographic expansion strategy. Today, the Infinigate Group has more than 450 employees and is represented by subsidiaries in eleven European countries (Germany, Austria, Switzerland, UK, France, Netherlands, Belgium, Sweden, Norway, Denmark and Finland). Infinigate thus covers more than 80% of the Western European cyber security market potential and has established itself as the leading value-added distributor for cyber security in Europe.
About H.I.G. Capital
H.I.G. is a leading global alternative assets investment firm with over €35 billion of equity capital under management.* Based in Miami, and with offices in New York, Boston, Chicago, Dallas, Los Angeles, San Francisco, and Atlanta in the U.S., as well as international affiliate offices in London, Hamburg, Madrid, Milan, Paris, Bogotá, Rio de Janeiro and São Paulo, H.I.G. specializes in providing both debt and equity capital to small and mid-sized companies, utilizing a flexible and operationally focused/value-added approach:
- H.I.G.’s equity funds invest in management buyouts, recapitalizations and corporate carve-outs of both profitable as well as underperforming manufacturing and service businesses.
- H.I.G.’s debt funds invest in senior, unitranche and junior debt financing to companies across the size spectrum, both on a primary (direct origination) basis, as well as in the secondary markets. H.I.G. is also a leading CLO manager, through its WhiteHorse family of vehicles, and manages a publicly traded BDC, WhiteHorse Finance.
- H.I.G.’s real estate funds invest in value-added properties, which can benefit from improved asset management practices.
Since its founding in 1993, H.I.G. has invested in and managed more than 300 companies worldwide. The firm's current portfolio includes more than 100 companies with combined sales in excess of $30 billion. For more information, please refer to the H.I.G. website at www.higcapital.com.
* Based on total capital commitments managed by H.I.G. Capital and affiliates.