August Equity LLP (“August Equity”) has completed the exit of Planit Holdings Limited (“Planit”) following a competitive sale process involving trade and private equity bids from across the US and Europe. The exit was completed via a trade sale to Vero Software (“Vero”), which has backing from Battery Ventures, a $4 billion global venture capital firm with headquarters in the US.
Vero is a leading provider of Computer Aided Design (“CAD”), Computer Aided Manufacturing (“CAM”) and Computer Aided Engineering solutions for the tooling industry with a specific focus on plastic injection moulds, sheet metal stamping dies, multi-axis milling, laser cutting and wire EDM. Vero targets the automotive, electronic, medical, white goods and aerospace sectors.
Planit develops and supports CAM software and services for the woodworking, cabinet-making, engineering and stone industries. Planit has established a leading presence within the United Kingdom and United States, a top five market position in France, Germany, Italy, and Scandinavia and is growing its presence in the emerging markets.
August Equity originally completed the management buy-out (“MBO”) of Planit in December 2006 when its managed funds invested £14.2 million to complete August Equity’s first public to private transaction.
Following the development and implementation of a new business strategy and profit improvement plan Planit sold its retail division, Fusion, to Canadian based 20-20 Technologies Inc for £19 million in February 2008. The sale of Fusion, which specialised in CAD solutions for the retail industry, was in line with the original MBO strategy, and focused Planit on the faster growing CAM market.
In September 2010 August Equity led the strategic purchase of the sheet metal software assets from Greenock-Somatech BV (“Somatech”). Somatech supplied its software into Planit’s Radan range, which remains a strong growth area for Planit.
Bryan Pryce, CEO of Planit, commented: “August Equity had the expertise and network to enable us to pursue our growth plans for the business. Their involvement enabled us to refocus the business and concentrate on the core CAM market, which has proved a resilient sector. Vero Software is a great strategic partner for Planit, and together the combined business will be the largest in the specialist CAM market.”
Ian Grant, August Equity partner, said: “The exit represents the eighth in our AEP I fund and generates a healthy return for our investors. We continue to see strong investment prospects in service oriented technology companies where there are opportunities to build scale and develop market leaders.”