Knight advises 4net on its investment from YFM

Knight Corporate Finance (“Knight”) has advised 4net Technologies (“4net) on its £3.5m investment from YFM Equity Partners (“YFM”).

4net develops and provides contact centre and telephony solutions to UK enterprises and central and local government. It is one of a small number of Avaya top-level Diamond partners in the UK and has a range of other accreditations, and is the provider of the “Antenna” platform to a number of central government departments.

The business was founded in 2005 by Richard Pennington, Frank Jennings and Michael Jervis, with Director Steve Tyrrell joining a couple of years later. The team have grown the business extensively and will now be joined by industry veteran Iain McKenzie who will become non-executive chairman.

Richard Pennington, MD at 4net, said: “We are a telecommunications business that puts the customer at the heart of what we do. We are looking forward to working with Iain McKenzie and YFM to continue to provide award winning support and managed services for our customers and their mission critical infrastructures, and to help them adopt the right technologies to help them transform their communications and customer experience”.

Richard continued, “We built up a relationship working with Knight over a number of years. They took the time to understand our business and they used their industry knowledge and contacts and highlighted a number of different options that we did not realise were available to us. Knight identified YFM as an investor with significant experience supporting management teams in the TMT sector. They managed an intensive process and they were instrumental in getting this deal to complete”.

Knight Corporate Finance is enjoying a successful 2017 with the 4net deal succeeding transactions with Nexus Telecommunications, Streamwire, NTE, Bluebay Travel, Pennine Telecom and Freedom Communications.

Paul Billingham, Director at Knight Corporate Finance, said: “Having seen lots of private equity investment in the ICT sector, and with a number of new opportunities being developed by the business, the team at 4net were keen to understand how private equity could help accelerate their growth over the next few years. After introducing the team to YFM it was clear that they were the right partner to work with as the business aims to double profits over the next few years”.

Nigel Owens, Investment Director at YFM, added: “4net has established an impressive reputation in providing innovative solutions to its corporate and government customer base, which has fuelled impressive growth. We look forward to working with the team in the next stage of its development.

The Knight Corporate Finance team was led by Director Paul Billingham and Associate Directors Sam Davies and Tom Jones.