IK acquires FCG from Bridgepoint

3 min readSep 4, 2022

Wednesday 19th January 2022

European private equity firm IK Partners, via the IK Small Cap III Fund, is to acquire FCG, from international private equity group Bridgepoint.

IK Partners — a leading Pan-European PE firm focused on investments in the Benelux, DACH, France, Nordics and the UK with over three decades of experience in creating lasting value. Founded by Bjorn Saven in 1989. CEO: Christopher Masek; AUM: c.$14bn.

Bridgepoint — a world leading quoted private assets growth investor focused on the middle-market with a local presence in the US, Europe and China. Bridgepoint specialises in private equity and private credit and invest internationally in six principal sectors — business services, consumer, financial services, healthcare, advanced industrials and technology. Chairman of the board and executive committee: William Jackson; AUM: £30bn

FCG — a governance, risk management and compliance (“GRC”) services provider, offering advisory, outsourcing, GRC technology and fund administration services to the financial services industry with a a diversified customer base ranging from fast-growing fintech start-ups to large banks. Founded in 2008 and headquartered in Stockholm, Sweden, FCG has evolved to become a leading Nordic GRC player with more than 270 employees located across six offices in the Nordics and Germany. CEO: Kristian Bentzer.

Key Points

The deal is expected to close in Q2 2022. Financial terms of the transaction have not been disclosed.
IK is acquiring its stake alongside management and key employees who will be reinvesting and remain significant shareholders.
The transaction is subject to competition clearance and regulatory approvals.

Investment History and Exit (Bridgepoint)

Since Bridgepoint acquired FCG in 2018, FCG has more than doubled in size, through both internal business development and M&A, expanded their services internationally, offering across the GRC arena, with added tech capabilities and software solutions. “FCG is now well placed to continue its growth ambitions and development under new ownership.”

Investment Rationale (IK Partners)

IK has been following FCG for many years and identifies them as a leader in a growing market with favourable underlying drivers. The demand for GRC services is expected to increase over time as regulatory environment is ever-evolving; FCG is has an impressive track record and is well-positioned to cater to that demand.

Investment Objectives (IK Partners)

Continue international growth strategy, further strengthen the service offering within key growth areas such as ESG.

FCG plans to continue its international growth strategy, further strengthen the service offering within key growth areas such as ESG and build its position as a leading GRC technology provider. IK is acquiring its stake alongside management and key employees who will be reinvesting and remain significant shareholders.

This partnership will form a solid basis on which we can further strengthen and accelerate our growth ambitions. Since inception, we have continuously developed our offering to become a full-service GRC player in the Nordics and Germany and we look forward to expanding our geographical presence and service offering together with IK.

The next phase of FCG’s journey will be supported by IK Partners, empowering management to further strengthen its leading position in the Nordics and leverage on the strong macro tailwinds in the underlying GRC market. The company will continue to be led by Kristian Bentzer and his team.

Acquisition Notes (IK Partners)

This is IK Partners’ 17th transaction in the Business Services sector.
This is IK Partners’ 37th transaction in Sweden.

Investment Professionals

Erik Ingemarsson, Partner at IK Partners and Advisor to the IK Small Cap III Fund
Johan Dahlfors, Partner at Bridgepoint Development Capital and responsible for its investment activities in the Nordic region.

References

Bridgepoint / Mergr / PE Wire

You might also enjoy…

IK acquires FCG from Bridgepoint

Written by Layman's Equity