Presidio Explores Potential Sale, Report About IT Services Firm Suggests

Private equity firm BC Partners may be looking to sell Presidio, a major IT solutions provider that has cloud MSP, MSSP and cybersecurity capabilities, according to Reuters.

For 2021, Presidio generated:

Presidio: Private Equity Ownership, Recent Acquisitions

BC Partners acquired Presidio for $2.1 billion and took the IT solutions provider private in 2019. Presidio has since grown organically and via M&A -- buying such firms as:

Fast forward to present day, and Presidio's focus spans cloud, infrastructure modernization, workforce transformation and cybersecurity. Moreover, the company has more than 3,600 employees listed on LinkedIn.

Neither Presidio nor BC Partners commented in the Reuters report.

MSP and IT Services M&A Activity Remains Strong

Although SaaS company valuations generally fell in the first half of 2022, MSP and IT service provider valuations held up particularly well during the period. Among the reasons: SaaS companies were generally valued on revenue multiples, while IT services firms are valued on EBITDA multiples. As investors shifted their focus from revenue growth to profit stability and growth, IT service providers could tout their strong EBITDA results.

Still, multiple large MSP-oriented companies are exploring breakups and potential asset sales. Potential asset sellers could include Rackspace and Atos, among others, according to previous ChannelE2E and MSSP Alert reports.