Fintech specialist E4 acquired by consortium led by Infinite Partners
South African fintech specialist, e4, today announced the acquisition of a consortium of private equity investors, led by independent private equity fund manager, Infinite Partners. The transaction will provide e4 with the necessary capital to proceed to the next phase of its expansion.
e4 is a technology company that provides customized, innovative solutions and services, including software development and business automation. With a focus on software as a service (SaaS), e4 leverages its technology expertise to completely transform customer processes, positioning itself as a pioneer in digitization in South Africa. For over 20 years, e4 has built on its strong foundation as a leading digital transformation specialist, with digital enablement as a core element of its ethos.
The wider e4 Group employs over 200 dedicated professionals and in 2021 launched a new group in the UK focused on building e4’s relationships with mortgage lenders, conveyancing firms and other partners in the UK.
This strategic acquisition of Infinite Partners provides e4 with the necessary resources and support to further expand its reach and continue its mission to transform businesses through cutting-edge digital solutions. The transaction includes 27four, a diversified financial services group that invests money innovatively and supports independent asset managers.
e4 Group CEO, Grant Phillips, says that the investment is a natural fit for e4’s broader strategy.
“e4 Group has been on a successful journey of sustainable growth and expansion in recent years. This has meant expanding our relationships and value creation with our local strategic partners as well as focusing on income diversification and geographical expansion. With some of these initiatives in their infancy, the timing of this new partnership comes at an opportune time for the business. The entire consortium is aligned with the organization’s strategy, supports the team tasked with executing it and has already begun providing input on additional opportunities that we have jointly identified.”
Infinite Partners is an African manager of private equity funds, established in 2022 after spin-off from Ethos Private Equity. Founded on a bedrock of ethical sustainable investing for good, Infinite Partners is both value and value-driven partners, seeking growth investments alongside visionary management teams.
“e4’s strongest growth potential lies in continuing to do what they do very well and thus increasing the penetration of their current products and following the well-established ‘blueprint adoption’ among customers. We are very excited about the growth opportunities for e4 to grow into other adjacent areas while maintaining a strong market position in the current IT services verticals, said Edward Pitsi, CEO of Infinite Partners.
“Finally, the business has recently expanded into the UK which has a TAM of over 10 times the SA market – we will support management through this expansion as it can have a significant impact on bottom line results. Our experience in managing growth agendas, providing strategic input and growth capital will be fundamental to support delivery on the opportunity set.”
He adds that the strength of e4’s leadership was central to Infinite Partners’ decision to invest in the business. “
“From our initial engagement, we were impressed by e4’s management team which has become fully professionalized with key positions filled by people who have experience but are still hungry to grow the business and take it to greater heights. We look forward to seeing e4’s management leverage its experience, knowledge and customer relationships to spearhead strategic growth. As investment partners, we will look to be supportive yet challenging to achieve the right results together with management.”
