PACE Telecom is a leading communications company specialising in telephone systems, fixed-line, mobile and broadband-based solutions and are based in North Wales. They focus on delivering premium unified communications and have more than 1,000 customers which they help work more efficiently and productively. In 2018 they decided to explore the market to find a buyer to acquire the business.
After PACE’s founders spent 30 years building the company they decided it was time to investigate the potential of a trade sale of the business. The company was growing successfully and maintaining this momentum required considerable focus, which might be diluted by looking for potential acquirers. The management team considered several different advisors to initiate their disposal programme. Evolution Capital was appointed by PACE Telecom in 2019 to prepare the business for sale, introduce the company to potential acquirers and manage the cycle.
The first stage in the disposal process was to implement a strategic review of PACE to begin the detailed preparation of the business for sale. Evolution Capital delivered a multi-disciplined fusion of skills and know-how from its combined team of advisors, analysts and industry experts. This enabled a complete review of the business and made several recommendations to enhance the value of the potential transaction. The application of Evolution’s unique set of methodologies and robust processes during the review highlighted several areas that needed to be refined and finessed to ensure the best outcome for PACE Telecom. Following the review Evolution Capital produced and completed the necessary document for the forthcoming transaction.
After overseeing the preparation of the business Evolution Capital approached several potential buyers on behalf of their client. All acquirers needed to meet PACE’s criteria including valuation, terms and conditions. Enreach UK were identified as a likely acquirer and one that could deliver a satisfactory outcome for all parties concerned. Evolution Capital oversaw the complete disposal process to a successful conclusion. The acquisition of PACE continued the acquirer's expansion into the UK market and follows the formal launch of the Enreach UK brand in April 2021. Pace Telecom is an excellent fit for Enreach, having been a customer of their Service Providers brand for several years and specialising in cloud telephony.
Jamie Hughes, chief executive of Pace Telecom, said: "I am excited to see Pace Telecom join Enreach at such a pivotal time of growth and innovation for the group after being a partner for many years.
"At Pace Telecom, we have almost 30 years’ experience in helping our customers to become more flexible and efficient through our solutions and joining Enreach will only help their businesses to grow even further. We look forward to achieving maximum success as part of Enreach."
Duncan Ward, chief executive of Enreach UK, said: "By adding Pace Telecom to Enreach here in the UK we are able to further improve on the products, services and the overall experience we provide our customers.
"Pace Telecom has been a partner of Enreach for Service Providers for several years and, with the team already confident taking our cloud platform to market, we are certain that we can build on this success."
Jamie Hughes concluded: "We made a huge investment in technology in a bid to become the go-to place for knowledge and experience. This paid off for us and with Evolution Capital's management and guidance we exceeded expectations."
Nigel Cook, Group Managing Director, said: “Jamie (Hughes) has engineered a fantastic result for shareholders, management team and the customers of Pace Telecom, who now will benefit from being part of the leading European UCaaS enterprise, backed with capital from the Pemberton and Waterland partnership. Evolution Capital is pleased to have advised in this outstanding outcome for shareholders.”
