IQGeo, the Cambridge-headquartered geospatial software solutions provider, is primed for a significant strategic shift with a £333 million private equity takeover by KKR. This acquisition represents a 19% premium over the company’s closing stock price, calculated at 480 pence per share. In financial terms, the deal weighs in at 7x IQGeo’s revenue of £44.5m for the FY 2023 and 48x its adjusted EBITDA of £6.6m. IQGeo has seen notable market success, its share price catapulting more than 270% in the previous two years. At the crux of the deal is KKR’s vision to nurture IQGeo’s trajectory towards a recurring, software-centric model, capitalizing on the rapid evolution of grid infrastructure amidst global connectivity and sustainability pursuits. Stakeholders who agree to the deal, comprising 58.2% of shareholders, view KKR’s bid as an endorsement of IQGeo’s robust cloud-based solutions and an opportunity for lucrative cash-out. IQGeo Chairman Paul Taylor voices his approval, highlighting years of strategic decisions that have placed IQGeo at the vanguard of its sector and delivered substantial value to shareholders. The KKR move is poised not just to recognize past achievements but also to leverage IQGeo’s inherent potential for future growth underpinned by strategic acquisitions and international expansion. Commenting on the purchase, Rami Bibi, KKR’s Head of EMEA for the Global Impact, underscores IQGeo’s essential role in narrowing the digital divide and modernizing the grid, aligning seamlessly with KKR’s investment ethos geared towards electrification and net-zero goals.

Private Equity, Software & IT Services, Telecommunications, Utilities,United Kingdom, EMEA

IQGeo set for £333m private equity takeover