Quayle Munro has advised the shareholders of Complinet Group (“Complinet"), a leading provider of online regulatory solutions for the global financial services industry, on the acquisition of a significant minority stake in the Company by Fidelity Equity Partners. Quayle Munro advised Complinet on its strategic options and led the negotiations and structuring of the transaction.
Complinet was founded in 1997, is headquartered in London and is unique in the financial services industry. It currently services over 1,200 companies, including approximately 80 percent of the world’s leading financial services firms, such as Morgan Stanley, UBS, Edward Jones, and Royal Bank of Scotland. The company’s solutions combine deep regulatory insight with innovative technology that provide timely information, analysis and risk management services to more than 100,000 compliance and legal professionals across 81 countries.
As part of the transaction, Sebastian McKinlay and Stephen Findlay, partner and vice president for Fidelity Equity Partners respectively, have joined Complinet’s board of directors. The new funds will be used to help enhance Complinet’s product offering and build out its international presence. The company will also seek to further expand, either organically or through acquisition, into financial services sub-sectors. Fidelity’s investment also enables some of Complinet’s long standing shareholders to realise part of their holding.
Fidelity Equity Partners manages a $500 million international private equity fund focused on investing in established, high-growth midsized businesses in North America and Europe with enterprise values between $50 million and $150 million and growing organically at more than 10 percent per year. The firm is particularly interested in businesses that use information and communication systems to drive growth and competitive advantage, and those that can accelerate organic growth through acquisitions.
Craig Muir, Managing Director, Quayle Munro, said:
“We are delighted to have advised the shareholders of Complinet in this next stage of development. We have known the management almost from the day the Company was founded and have always been impressed by the quality of the business. Fidelity Equity Partners, with its huge global reach, is the ideal partner to help Complinet exploit its presence in the rapidly growing regulatory and compliance solutions markets.”
Chris Pilling, CEO of Complinet, said:
“With Fidelity Equity Partners as our new investment partner, we are in an excellent position to take advantage of our experience and technical leadership in the online regulatory solutions marketplace. The timing for this investment is right, given the rapidly growing demand for regulatory and compliance solutions from financial services companies. Through its relationship with Fidelity Investments, Fidelity Equity Partners is the ideal investment partner to accelerate our market leadership and enable us to scale the business to the next level. Quayle Munro's advice and sector expertise was invaluable to us throughout the transaction.”
Sebastian McKinlay, Partner at Fidelity Equity Partners, said:
“The global marketplace for regulatory and compliance solutions is growing quickly. Complinet is extremely well-positioned to leverage the significant investment it has made to date in its solution suite and global service offering to take advantage of this opportunity. As a market leading, high growth and international service company Complinet represents a perfect example of the types of business Fidelity Equity Partners was established to invest in and support. We are excited to partner with Chris and the entire Complinet management team.”