Buysse & Partners sells Esas to Circet.

Buysse & Partners sells Esas to Circet.

Buysse & Partners sells ESAS to Circet, the European market leader in telecom services, owned by the international private equity fund Advent International.

Circet takes over the Antwerp IT and IoT service provider from the management of ESAS and the investment house Buysse & Partners. The ESAS management team, led by Bavo De Cock, will roll over its 43% stake to the new group and will remain responsible for Circet's Benelux activities.

ESAS is an IT service provider that provides the installation, maintenance and management of hardware devices, as well as the construction and maintenance of coaxial and fiber optic networks for major telecom companies including Proximus, Vodafone and KPN. In recent years, the Antwerp company has also increasingly focused on IoT services (Internet of Things), such as the installation of smart electricity meters for private individuals or the management of devices connected to the internet for companies.

Buysse & Partners acquired a 51% stake in ESAS in November 2016 and increased its stake to 57% in 2019, following four acquisitions by ESAS.

Strong increase in turnover in four years

Since its acquisition by Buysse & Partners, ESAS has undergone a major transformation: the company evolved from a primarily ‘in home’ telecom service provider in Belgium, to a more diversified ‘in home’ and ‘infra’ IT and IoT service provider in the Benelux region. The collaboration between ESAS and Buysse & Partners resulted in an increase in turnover from almost 60 million euros in 2016 to 165 million euros in 2019. For 2020, turnover is expected to increase organically to 185 million euros, with actual figures reaching 240 million euros thanks to the recent acquisition of NKM (see below).

A textbook example of a Buy & Build strategy

ESAS's strong growth is the result of a strong ‘buy-and-build’ strategy. In 2016, ESAS acquired Simac 3Services, followed by TSB in 2017. In 2019, the group completed an impressive four acquisitions: Dutch companies Teletronika and Lomitel, the Belgian branch of BAM Infratechniek—the telecom division of the Dutch construction group—and Spitters in the Netherlands, a contractor specializing in fibre-optic and cable network installations for the telecommunications sector.’ At the end of November, ESAS also completed the acquisition of the Dutch fibre-optic consultancy NKM, which will increase the group's turnover to 240 million euros by the end of the year.

Future at Circet

ESAS has a strong pipeline of contracts, mainly in the rollout of fibre-optic networks for various telecom players in the Benelux region. In addition, there is a large volume of orders to be realized in the rollout of smart meters for utility companies and in the electrification of vehicle fleets with charging stations. The emergence of the 5G network will also represent an important growth avenue for ESAS.

Bavo De Cock, ESAS CEO, explains: "Sharpening our strategy, with a clear focus on telecom network services, has led to a solid track record and a successful path, making ESAS the market leader in the Benelux region. We have never hidden our European ambitions and are very excited about our future as part of Circet, the European market leader in telecom network services."

Johan Buyle, Buysse & Partners Smart Equity partner and CEO, continues: "For Buysse & Partners, this exit, after exactly four years, means an exceptional return. This exit underlines our vision to realize a growth path together with strong management teams, where ‘buy & build’ can really turbocharge the growth of the company. We are convinced that ESAS can continue to build on the same momentum within Circet and look forward to a successful future."