Monday, December 16, 2024

TeamViewer Buys Carlyle-Backed Software Firm 1E for $720 Million

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(Bloomberg) — TeamViewer SE, a maker of remote-working software, said it is buying 1E from Carlyle Group Inc. for $720 million.

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The acquisition — TeamViewer’s biggest ever — is expected to close in early 2025 after regulatory approvals are obtained, the Goeppingen, Germany-based company said in a statement Tuesday, adding that the move increases its footprint in North America. 1E’s US customers include HP and Nike Inc.

Carlyle acquired a majority stake in 1E in 2021 with the company’s founder, Sumir Karayi, retaining a significant minority stake, according to a statement at the time. Carlyle didn’t disclose terms of the deal. The company provides real-time diagnosis, remediation and automation to fix issues at more than 500 organizations in 42 countries.

1E Chief Executive Officer Mark Banfield will become a member of TeamViewer’s board and chief commercial officer, according to Tuesday’s statement. TeamViewer also plans to appoint 1E’s Chief Marketing Officer Stephen Tarleton in the same role, it said.

The combination pairs 1E’s automated remediation software that detects IT issues with TeamViewer’s remote-work software, allowing users to get support quickly when problems arise.

Shares of TeamViewer, which raised almost €2 billion ($2.1 billion) in its 2019 initial public offering, have fallen 11% this year, giving the company a market value of €2.1 billion. TeamViewer is run by Oliver Steil, an electrical engineer who joined from private equity firm Permira, which previously controlled the company.

“With the acquisition of 1E, TeamViewer will enter a new era of intelligent endpoint management by providing customers with a smart solution for preventing and tackling technology issues with minimal friction,” Steil said in Tuesday’s statement. “Together with 1E, we are ideally positioned to meet growing customer demands for more real-time, automated, and proactive approaches in the IT and the OT space.”

–With assistance from Will Davies.

(Updates with confirmation from TeamViewer.)

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