Lead Forensics

CASE STUDY

Eque2: Acquisitive growth strategy

Trio of acquisitions drives increase in EBITDA by 85% at construction software company.

Sector
  • Construction & property
  • Technology, Media, Telecoms

Eque2 is the leading software provider for the construction industry.

Deal type
  • Secondary buyout
Deal value

£16m

Exit type
  • Private equity sale
Exit date

December 2020

Exit value

£46.5m

Headquartered in Manchester, Eque2 supplies business management software to more than 2,700 customers in the construction, housebuilding and contracting industries.

Its software enables builders, contractors, architects, engineers and estimators to integrate the commercial and financial aspects of their operations, driving efficiencies and ultimately improving profitability.

Minority investment for growth

In November 2017, LDC backed the £16m secondary buyout of Eque2, taking a significant minority stake in the business.
During the three-year partnership, Eque2 made three acquisitions: Miracle Dynamics which was completed at the time of the initial investment, JNC Solutions which expanded the business across the UK and CliP IT Solutions which added new products to Eque2’s product set.

Eque2 also invested in new product development to bring to market the first cloud-based job costing system in the construction industry.

orange quote mark
Our three-year partnership with LDC has enabled us to build scale through acquisition and create a strong foundation for future growth.”
Justin Moule, CEO
Eque2

Between 2017 and 2020, the business increased revenues by 29%, EBITDA by 85% and headcount by 53%.

In December 2020, LDC exited its minority shareholding to private equity firm WestBridge.

Awards

Northern Tech Awards Top 100

2019