Investcorp, a company based in Bahrain, has made a commitment to invest $100M in order to acquire a controlling interest in SEC Newgate, an Italian communications and advocacy group. The agreement places a value of over $250M on SEC Newgate, which has operations in 22 countries.
As part of the deal, Investcorp has announced that the existing shareholders of SEC Newgate will retain their full equity investment. The transaction is anticipated to be finalized sometime between the third and fourth quarters of 2023, pending regulatory approvals.
“SEC Newgate aligns with our investment approach to back strong, committed management teams operating differentiated businesses in growing sectors,” said Jose Pfeifer, head of Investcorp’s European Private Equity Group.
“We will use our resources to support SEC Newgate’s geographic expansion, growth through acquisitions and greenfield developments.”
Investcorp Invests in SEC Newgate to Accelerate Expansion Strategy in EMEA and APAC Regions
Investcorp, the alternative asset management firm, has stated that its investment will support SEC Newgate in speeding up its development strategy. This strategy primarily involves expanding its presence in the Europe, Middle East, and Africa (EMEA) and Asia-Pacific (APAC) regions through a combination of organic growth and mergers and acquisitions (M&A).
As part of the agreement, Nicola Ferraris, the Managing Director of Investcorp, will join the board of SEC Newgate. This move reflects Investcorp’s active involvement and commitment to the future success of SEC Newgate.
“Since its delisting from the London Stock Exchange in March 2022, SEC Newgate has grown rapidly and expanded in the US and Central and South America through transformational acquisitions,” the Bahraini investment firm said in a statement.
Investcorp has a strong track record of investing in and providing support to professional services and communications businesses that focus on people. Noteworthy investments by the company include AlixPartners, a management consulting firm, ICR, a strategic communications advisor, PRO Unlimited (now Magnit), a workforce management pioneer, United Talent Agency, a talent and entertainment company, and CrossCountry, a business advisory firm.
Over the years, Investcorp has invested more than $1.96B in European companies since 2012. The investment in SEC Newgate aligns with Investcorp’s previous investments in Italian companies such as Gucci, Riva, and Dainese. Among its current portfolio of Italy-based companies are CloudCare, Vivaticket, Corneliani, and HWG/Sababa Security.
