IT Due Diligence: Positioning PE Firm as Preferred Buyer

The Challenge

CIVC Partners has a strong track record when it comes to investments in the IT Services space. Their portfolio includes companies that perform IT managed services, digital engineering, cybersecurity, and database management. When presented with an opportunity to invest in a value-added reseller (VAR) of OT and wireless IoT networking hardware, they needed to conduct thorough IT due diligence to understand the supply chain relationships and differentiate themselves as a thoughtful partner to the management team. To achieve this, they approached Apex Leaders for expertise in private equity due diligence to ensure a successful and informed investment decision.

Our Approach

Apex matched CIVC with several current and former employees at OT and wireless IoT networking hardware OEMs. Additionally, as part of the IT due diligence process, Apex Leaders sourced individuals from the top 3 telecom companies which helped CIVC better understand the relationship between vendor partners and end users’ perspectives on their decision-making process.

The Results

CIVC worked repeatedly with Wayne Stargardt, Former Vice President of Network Operations and Engineering at Sierra Wireless. Stargardt helped them to understand the relationship dynamics with OEMs as well as the larger macro trends of how this industry performs in various economic cycles. CIVC asked Stargardt to attend management presentations to help with IT due diligence, and also to show the buyer how committed CIVC was to their company and its future.

Ultimately, Apex partnered CIVC with an exact-match private equity advisor, which led to a successful acquisition.