News
Foundation SP secures strategic investment from LDC
2 Dec 2020
Foundation SP (FSP), a specialist Digital Transformation services provider, has secured a multi-million-pound minority investment from leading mid-market private equity firm LDC.
Headquartered in Reading, FSP is an award-winning provider of Digital Transformation services to large enterprises and public sector organisations. Its portfolio of cloud, productivity, data and artificial intelligence offerings alongside trusted managed services delivery are transforming high-profile clients across a range of sectors.
LDC has backed FSP’s ambitious management team, led by Simon Grosse (Chief Executive Officer), Simon Walker (Chief Customer Officer), and Tim Ebenezer (Chief Digital Officer). The team have already successfully grown the business to 80 employees through their people-centric approach. This has seen FSP win numerous awards in recognition of its outstanding working culture. It is currently ranked #1 in the Great Place to Work UK® Best Workplaces™ medium category.
The investment is set to boost FSP’s bold organic growth strategy, enabling it to expand its client base and suite of digital and software services, as well as providing an opportunity to explore complementary acquisitions.
The investment was led by Investment Director Chris Morris and LDC’s Head of South Lawrence Dean, who will join the board as Non-Executive Directors. LDC’s Head of Value Creation Partners Richard Kirby will also continue to work closely with the existing management team to support strategy development. Also joining the board as Non-Executive Chair is Sharon Baylay, who brings extensive executive experience and a network encompassing brands including Microsoft and the BBC.
This deal marks a key next step in Foundation SP’s growth journey. I’m extremely proud of all of our employees who have enabled us to build such strong customer relationships and an incredibly successful model. We know that partnering with LDC will help us to scale while remaining true to our culture and ethos.”
Chris Morris, Investment Director at LDC, said: “We’ve enjoyed getting to know Simon and his team over the past 16 months, familiarising ourselves with their business and ambitions for the future. The business is going from strength to strength, and with an impressive growth plan and a highly experienced team, we knew FSP was a firm we wanted to back. We’re excited to help them become a recognised and industry-leading digital transformation brand.”
LDC has a strong track record of supporting technology firms across the South East. Most recently, it partially exited communications and cyber security serviced provider Babble, in a deal that valued the business at £90million, following a successful buy and build strategy including four bolt-ons in 2020 alone.
This transaction also marks the LDC South team’s third new deal of the year, following investments in James & James in March and Aker Systems in July.
LDC was advised by James Cowper Kreston, Shoosmiths, Armstrong Transaction Services and BDO.
FSP was advised by PwC, Gateley Legal and Frazer Hall.