Private equity firm Evolute, along with Hunt Technology Ventures, has invested in cloud-centric MSP eGroup. The exact amount of the investment was not disclosed, though eGroup calls the amount “substantial.”
Founded in 1999, eGroup is a Microsoft partner with seven Microsoft Gold competencies including Gold Cloud Platform (Microsoft Azure) and Gold Cloud Productivity (Microsoft 365), and is an Elite Microsoft Security and Management partner with an Advanced Specialization in Azure Virtual Desktops.
eGroup will use the investment to expand its position in the cloud and managed services sector both organically and through acquisitions, according to the company. The company says it will also use the money to expand its cloud services and geographic presence across the United States. Specifically, eGroup plans to expand its sales, marketing and service delivery teams.
eGroup is headquartered in Mount Pleasant, South Carolina. The company’s founder and CEO, Mike Carter, will continue to lead eGroup.
Evolute Invests in eGroup
Mike Carter, founder and CEO of eGroup, commented:
“At eGroup we love working with smart people who know how to get things done. It’s energizing to work with a team that has intentionally and successfully grown companies while fostering a culture that puts the customer first, rewards team performance, and encourages and recognizes individual success. As we turn our attention to expanding the world-class capabilities that keep our clients at the center of the outcomes we deliver, I’m thrilled to work alongside new team members who appreciate what it means to be ‘part of the family’ while creating growth opportunities for customers and team members.”
Brendan Achariyakosol, founder and managing member of Evolute Capital, said:
“eGroup is a true market leader in complex cloud transformation, managed services, and data center services, and has built a tremendous reputation of supporting their customers in whichever stage of IT modernization they are going through. Furthermore, we feel eGroup’s most impressive achievement is the tremendous team they have built and we are proud to be their partner and to support them through the next phase of their journey.”
Hunt Allred of Hunt Technology Ventures, noted:
“Prioritizing the client and work quality, Mike Carter and eGroup define every quality that we look for in a business partner. We look forward to helping them grow their capabilities and product offerings to better serve their clients globally.”
About The Investors
Dallas, Texas-based Evolute Capital is a middle-market private equity investment firm that specializes in IT services companies. The deal was made in partnership with Hunt Technology Ventures, the technology investment management arm of a large Dallas, Texas-based independent family that invests in IT services companies.
CFA Investment Banking, a national investment banking firm, represented eGroup in this transaction.