INVESTCORP takes majority stake in NETROM SOFTWARE
Context
Investcorp Technology Partners has acquired a majority stake in NetRom Software. The transaction, announced in February 2023, follows a period of sustained revenue growth at NetRom and a history of collaboration with existing shareholders IceLake Capital and the company’s founders. ITP’s investment aligns with its strategy of backing high‑growth technology firms in Europe and expands its portfolio of software‑focused assets. The deal was structured as a majority equity purchase, with the founders and IceLake Capital retaining minority interests and governance participation. Advisory teams included PhiDelphi Corporate Finance and KPMG on the sell‑side and Willkie Farr & Gallagher on the financing side.\n\nFrom ITP’s perspective, the acquisition provides direct access to NetRom’s established delivery network of approximately 500 engineers and its client relationships across telecommunications, transportation and fleet management sectors. The firm intends to leverage its capital and operational expertise to accelerate NetRom’s expansion into additional verticals such as fintech and health‑tech, and to deepen its presence in North America. ITP also plans to enhance NetRom’s delivery platform through investments in automation, cloud-native tooling and talent development programs, thereby increasing utilization rates and margin profiles.\n\nPost‑transaction, NetRom is expected to integrate ITP’s strategic resources while maintaining its existing management team and corporate culture. The combined entity aims to broaden its service catalogue, introduce new pricing models and pursue acquisitions that complement its engineering capabilities. Anticipated outcomes include higher contract win rates in target markets, improved scalability of offshore delivery centres, and a stronger competitive position against regional software service providers. The partnership is projected to generate incremental revenue growth and expand the geographic footprint of NetRom’s operations over the next several years.
NETROM SOFTWARE, which reported an EBITDA margin of LOGIN in 2023, is valued in this transaction at an EV/EBITDA multiple of LOGIN, a level to compare with the average currently observed in the TMT (Tech, Media, Telecom) sector (14.8x).
Note that this data is based on contribution from our growing community, composed of M&A and Private Equity professionals, and has been verified by our team to ensure its accuracy.
-> Deep-dive in TMT (Tech, Media, Telecom) market trends
Target
NetRom Software is a cloud‑first digital transformation and software engineering firm headquartered in Utrecht, the Netherlands. The company delivers end‑to‑end software development, integration and support services to a diversified client base that includes telecommunications operator VodafoneZiggo, mobility provider Transdev and fleet management firm LeasePlan. Its service portfolio comprises custom application development, platform migration, DevOps enablement, quality assurance and managed maintenance, all delivered through a delivery model that combines on‑site consulting with offshore execution. NetRom operates four delivery centres located in the Netherlands and Romania, employing roughly 500 engineers with expertise in Java, .NET, cloud platforms and agile methodologies. The firm generates revenue primarily from multi‑year contracts that embed recurring development and support fees, supplemented by project‑based engagements. Since its founding, NetRom has expanded its geographic footprint across Western Europe and North America, establishing sales and support functions in key markets to serve multinational customers. The company’s growth strategy emphasizes deepening relationships within existing verticals such as telecoms, transportation and automotive leasing, while pursuing new opportunities in fintech and health‑tech through targeted acquisitions and organic capability building. NetRom’s operational model relies on a combination of high‑skill talent acquisition, continuous training programs and a proprietary delivery platform that standardizes code quality, security and performance monitoring.
Ent. Value
LOGIN
Equity Value
LOGIN
Multiples
EV / Revenue
LOGIN
EV / EBITDA
LOGIN
EV / EBIT
LOGIN
Historical Financials (USD)
Similar deals in TMT (Tech, Media, Telecom)
| Date | Acquirer | Target | Country | Sector | Deal Context |
|---|---|---|---|---|---|
| 06/2023 | MEANINGS CAPITAL PARTNERS | JEMS GROUP | FRANCE | IT Services | A consortium of private equity firms led by Meanings Capital Partners, a firm with EUR1B AUM. They are joined by Amundi PEF and Africinvest, the latter supporting the group's expansion strategy in North Africa (Morocco). |
| 03/2023 | ALLURITY (TRILL IMPACT) | SECURIX | SWITZERLAND | IT Services | Allurity, a premier European cybersecurity services group backed by private equity firm Trill Impact, has finalized the acquisition of Securix, a leading cybersecurity player based in the Benelux region. Securix specializes in Identity and Access Management (IAM), Identity Governance and Administration (IGA), and Managed Detection and Response (MDR) solutions. This strategic bolt-on corporate transaction enables Allurity to expand its geographical footprint into the Benelux market and significantly strengthen its tech-enabled capabilities |
| 02/2023 | HLD | INFODIS | FRANCE | IT Services | HLD Europe acquired a majority stake in Infodis from LBO France. The transaction aims to support the management team in its new growth cycle, focusing on expanding the service portfolio in cybersecurity and cloud, while pursuing an active buy-and-build strategy. |
| 12/2022 | SESA GROUP | CYRES CONSULTING | GERMANY | IT Services | The transaction involves the majority stake acquisition of CYRES Consulting Services GmbH by Var Group S.p.A. (a subsidiary of SESA), a deal designed to bolster the acquirer’s Digital Security division and scale its specialized automotive cybersecurity capabilities within the DACH region. This industrial partnership is primarily driven by the significant acceleration in digital security demand across the automotive sector, necessitated by the widespread adoption of electrification, vehicle connectivity, and stricter international compliance standards |
| 11/2022 | SOPRA STERIA | TOBANIA | BELGIUM | IT Services | Sopra Steria, a global leader in technology, has finalized the acquisition of Assua NV and its operating subsidiaries Tobania NV and Python Predictions BV. This acquisition brings the Group into the club of major players in a market considered |
| 09/2022 | KKR | BARRACUDA NETWORKS | UNITED STATES | IT Services | The transaction involved the acquisition of Barracuda Networks from its previous financial sponsor. The strategic rationale for the acquisition was driven by the sponsor's continued focus on the cybersecurity sector, recognizing Barracuda’s established position as a leader in protecting SME digital infrastructure. By transitioning ownership to a new private equity partner, the company sought to leverage enhanced operational resources and global reach to accelerate its next phase of growth. The partnership aims to further professionalize the target's product development and go-to-market strategies, particularly in advanced security domains such as managed detection and response and SASE |
| 08/2022 | VINCI ENERGIES | KONTRON | GERMANY | IT Services | The transaction involves the 100% majority acquisition of the core IT services business unit of Kontron AG by VINCI Energies to expand its international Axians operating network. The strategic divestment enables the Austrian vendor to shed capital-intensive service integration units and reallocate corporate resources toward high-margin proprietary Internet of Things software products. The corporate action establishes an immediate operational bridgehead for the buyer into Germany, Switzerland, Poland, and additional Eastern European markets |
| 05/2022 | PERMIRA | MIMECAST | UNITED STATES | IT Services | Mimecast Limited has been acquired by funds advised by Permira, completing the transaction in May 2022 after receipt of all required regulatory approvals and affirmative shareholder votes. The acquisition concluded a process that began with a definitive agreement in December 2021, when a special committee of Mimecast’s board conducted a structured review of alternative proposals before recommending the sale. The transaction was executed as an all‑cash purchase of every outstanding ordinary share, leading to the immediate cessation of Mimecast’s public trading and its conversion to a privately held entity |
| 05/2022 | QINETIQ | AVANTUS FEDERAL | UNITED STATES | IT Services | QinetiQ US has entered into a definitive agreement to acquire 100% of Avantus Federal from NewSpring Holdings. The acquisition represents a transformational platform for QinetiQ, significantly expanding its presence within the U.S. intelligence and national security communities. The strategic rationale for the merger is to create a powerful growth platform that addresses complex global defense and cyber challenges at scale. Avantus brings a strong order backlog and highly complementary capabilities in data analytics and cyber operations that enhance QinetiQ's existing portfolio of autonomous systems and sensing technologies |
| 01/2022 | BAIN CAPITAL | INETUM | FRANCE | IT Services | Bain Capital entered into exclusive negotiations to acquire Inetum from the Qatari group Mannai Corporation. The transaction valued the group at approximately EUR2.27 Billion. The goal of this LBO is to accelerate Inetum's international expansion and support its buy-and-build strategy to become a leading player in the European IT services market. |
REFERENCES
Note: This page provides detailed data on a private equity M&A transaction. Detailed and exact financial metrics for the acquisition of NETROM SOFTWARE by INVESTCORP are reserved for mynth community members. Register for free to unlock full data.
Authors: verified mynth contributor (mynth data is contributed by M&A / PE professionals and systematically cross-verified with private deal documents and official press releases).
Press release: view release
Target: netrom software
Acquirer: investcorp