Apax Funds to acquire Veriforce from Thoma Bravo

28th August 2024

Funds advised by Apax Partners LLP (“Apax”) today announced that they have reached a definitive agreement to acquire a controlling stake in Veriforce (or the “Company”), a global provider of supply chain risk management solutions (“SCRM”), from Thoma Bravo, a leading software investment firm. The transaction is subject to customary regulatory approvals. Financial terms were not disclosed.

Headquartered in the US, Veriforce is one of the world’s largest providers of integrated supply chain risk management solutions, serving a multitude of end markets, with hubs in the US, Canada and UK. The Company’s solutions focus on verifying the services offered by contractors to hiring clients. This allows organisations to drive safety and compliance throughout all aspects of their supply chains.

Under Thoma Bravo’s ownership, Veriforce achieved rapid growth through strategic investments to expand its contractor network across multiple sectors and geographies. Veriforce now operates in more than 140 countries, helping bring more than five million workers home safely every day. Since 2018, Veriforce’s network has grown from approximately 115 clients and 9,500 contractors to over 1,300 clients and more than 90,000 contractors today. To support this expansion, Veriforce’s workforce has more than tripled to over 530 employees.

Colby Lane, CEO, Veriforce said: "Thoma Bravo has been an incredible partner. Together, we have led Veriforce to exponential growth and market expansion, becoming a truly global player in the SCRM space. We are beyond excited to partner with the Apax team going forward. With their experience in the SCRM ecosystem, Apax will be invaluable partners in advancing our global mission to bring workers home safely. Our team looks forward to continuing to deliver best-in-class solutions for our hiring clients and contractors."

Frank Ehmer, Partner, Apax, commented: “The SCRM sector is still a relatively new industry and it is highly fragmented. Veriforce has a strong reputation and market position in the US and we see an opportunity to partner with Colby and the Veriforce team to drive further organic growth, while continuing to scale the business internationally and into new verticals.”

Anders Meyerhoff, Partner, Apax, added: “Apax has significant experience in the SCRM sector, particularly given current Apax Fund investments in Alcumus and EcoOnline. It is an industry that has seen significant growth, driven by increasingly complex regulatory pressures and more demanding commercial requirements. We are excited by the industry outlook and are looking forward to supporting the next phase of Veriforce’s growth.”

Hudson Smith, Partner, Thoma Bravo, said: “Thoma Bravo is proud to have helped guide Veriforce’s strategic evolution over the past five years while also keeping the Company laser focused on its mission of getting workers home safely. Five years ago, we started with a business with two products focused primarily on one industry and transformed it to a business with greater than ten products focused on a broad range of industries across the globe. We also supported a multi-year research and development project to build the VeriforceOne technology platform that now provides customers with best-in-class features to manage their supply chains.”

George Jaber, Principal, Thoma Bravo, added: “We've worked closely with Colby and the entire Veriforce management team to build Veriforce into a global, world-class platform, across all industries and all geographies. Over the course of our ownership, the Company grew revenue 6x through organic initiatives and strategic M&A. We are excited for Veriforce’s continued success in its next chapter with Apax.”

Apax is being advised by Harris Williams and William Blair is acting as exclusive financial advisor to Veriforce.