Momentum advises Investcorp Technology Partners on an agreement regarding the acquisition of a majority stake in VEDA GmbH, a leading HR software and payroll-as-a-service provider
Momentum has advised Investcorp Technology Partners (“ITP”) on an agreement regarding the acquisition of a majority stake in VEDA GmbH (“VEDA”), a leading full-suite HR software and digitally enabled payroll-as-a-service provider in the DACH region. ITP is the global technology arm of Investcorp, a leading global alternative investment firm. VEDA’s CEO Ralf Graessler will continue to remain invested in the Company alongside Investcorp.
With approximately 170 employees, VEDA provides a platform solution for digital HR management, including payroll, time and security, recruiting, personnel development and learning management with the aim of digitizing tasks and minimizing administrative effort. VEDA has approximately 1,200 customers, including MAN, Lufthansa and many mid-market enterprises between 150-5,000 employees of size. In 2023 VEDA generated revenues of ca. €20 million.
ITP, as VEDA’s first institutional investor, will help to strengthen VEDA’s go-to-market strategy and further build out its portfolio of products and services, with a focus on VEDA’s fast-growing cloud business. As VEDA operates across the large and fragmented DACH HR and payroll markets, the investment will also allow VEDA to grow through add-on acquisitions of companies with complementary products and services.
Georg Knoflach, Managing Director at ITP, stated, “Investcorp Technology Partners is pleased to be investing in VEDA, a company that continues to have a leading position in the ca. €3 billion DACH HR and payroll software / services market for SMEs. We were impressed by the quality of VEDA’s products and go-to-market strategy, and we see incredible opportunities to support the Company as it helps more SMEs move their mission-critical HR services to the cloud. We look forward to partnering with CEO Ralf Graessler and the entire VEDA team on this next phase for the Company”.
About Investcorp Technology Partners:
ITP has established a market-leading position of investing in lower mid-market technology companies with a specific focus on Software, Data / Analytics, Cybersecurity, and Fintech. The investment in VEDA represents the fourth investment from ITP’s global fund, Investcorp Technology Partners V, following its investments in HWG Sababa (Cybersecurity, Italy), Zift Solutions (PRM Software, USA), and NetRom (Software engineering, the Netherlands). It also marks a continuation of a successful DACH region investment strategy for the firm, which exited HR software company softgarden in 2022 with a MOIC (Multiple On Invested Capital) of 3.2x, and is ITP’s fourth software investment in Germany in the last five years.
About Momentum:
Momentum was founded in January 2022 as a boutique firm with experienced lawyers specializing in transactions. Momentum provides efficient, proactive and pragmatic advice in the areas of M&A, private equity, venture capital, corporate law and tax law. As entrepreneurial lawyers, Momentum understands its clients and their specific needs and helps to make transactions a success. Through a strong national and international network of partners, Momentum is able to offer transaction advice as a one-stop-shop.
Deal Team Momentum and involved partner law firms:
Momentum Rechtsanwälte Steuerberater PartG mbB
Philipp Weber (Partner, M&A/Corporate Law)
Dr. Matthias Heilmeier (Partner, M&A/Corporate Law)
Dr. Daniel Wied, M. Jur. (Oxon) (Partner, M&A/Corporate Law)
Dr. Philipp Gold (Partner, Tax Law)
Georg Havlik (Counsel, Finance Law)
Tobias Lämmle (Senior Associate, Corporate Law/Commercial Law)
Nicole Lucks (Senior Associate, Corporate Law/Commercial Law)
Sarah Kaspar (Senior Associate, Corporate Law/Commercial Law)
Pusch Wahlig Workplace Law
Ingo Sappa (Partner, Employment Law)
NOTOS
Eckart Haag (Partner, IT/IP Law)
Jens Engelhardt (Partner, Data Protection Law)
Anja Bruchmann (Senior Associate, IT/IP Law)
Walder Wyss AG
Florian Gunz Niedermann (Partner, Corporate Law)
Fabienne Anner (Managing Associate, Corporate Law)
ROCAN
Dr. Timo Angerbauer (Partner, Antitrust Law)
Dr. Fabian Grossmann (Senior Associate, Kartellrecht)
Contact:
Philipp Weber, Partner
Momentum Rechtsanwälte Steuerberater
Eschersheimer Landstr. 14
60322 Frankfurt am Main
E-Mail: weber@momentum-partner.de
Phone: 49 (0) 171 91 00 765