Foehn | Knight

Foehn

Advised Foehn on its merger with DoubleEdge and Metaphor IT to create Kerv

Knight Corporate Finance, the boutique adviser for the technology and telecoms industry, is delighted to announce a further two deals taking its lockdown tally to five completed deals. The firm simultaneously and separately advised the shareholders of DoubleEdge and Foehn in a three-way merger alongside Metaphor IT to create Kerv, a customer-first, cloud-first managed services provider backed by private equity house LDC and serial tech entrepreneur, Alastair Mills.

With valuations maintained by continued demand for acquisitions in the sector, the deals see the shareholders of both companies realise a premium for their business and take an ongoing role and equity stakes in the enlarged business.

Adam Zoldan, Director and co-founder of Knight believes this to be further evidence of the resilience of the sector, saying “The dynamism of the channel is exemplified with this latest deal and the emergence of Kerv brings an exciting new player looking to disrupt the market. The deal also demonstrates the confidence of private equity investment in the sector, which looks set to continue”.

James Passingham, Founder of Foehn said “We engaged Knight to take the business through a dry run due diligence process (Knight Vendor Assist) to ensure we were prepared for our eventual exit and the timing turned out to be perfect. Knight delivered a deal that allowed us to realise the wealth we had locked up in the business with plenty of upside as part of the team at Kerv”.

Steve Burges, Director of DoubleEdge commented “I’ve known Knight for over 10 years having worked with Adam on the sale of my first business. Knight managed the process and ensured a highly complex deal ran extremely smoothly. When you agree the initial terms of a deal it seems very simple but it’s never the case. With Knight at my side, we were able to navigate the intricacies of the merger to a successful completion; it would have been tough without them”.

Alastair Mills, Executive Chairman of Kerv said “As a buyer I always appreciate working with a knowledgeable and experienced sell-side advisor such as Knight. They run a professional and disciplined process which was integral to drive the deal through to the agreed timescales and on agreed terms”.

Zoldan paid testimony to the next generation of Knights “When Paul and I started the business, delivering simultaneous deals of this complexity would have been impossible due to the level of resource and time each transaction requires. Our investment in people has added resource and expertise that was brought to bear on these transactions. The growing team proudly continue Knight’s tradition of industry knowledge and deal expertise and have enabled innovative new services, all with our principal aim: to turn our client’s ambitions into reality”.

The Foehn deal team comprised Adam Zoldan, David Middleton, Tom Jones and Nick Townley-Wells. The DoubleEdge deal team comprised Adam Zoldan, Dom Lillie, Tom Jones and Chris Collins.