Private equity, IT management, Mergers and Acquisitions, MSP, Content

PE Firm Trinity Hunt Partners Acquires Cloud MSP Keste


Private equity firm Trinity Hunt Partners has acquired a majority stake in Keste, a B2B digital transformation services provider from Dallas, Texas. Terms of the deal were not disclosed.

This is M&A deal 266 that ChannelE2E has covered so far in 2020. See the complete M&A deal list here.

Founded in 2004, Keste provides end-to-end complex digital transformation initiatives to enterprise clients. Their solutions include Enterprise Resource Planning (ERP), Customer Relationship Management (CRM), Configure-Price-Quote (CPQ), public cloud, and business intelligence initiatives.

Keste was founded by CEO Howard Moore and president Sri Ayyeppen, who will parter with Trinity Hunt and remain “significant” shareholders and managers of Keste in order to “accelerate the company’s growth trajectory through strategic acquisitions,” the firm announced.

Keste marks Trinity Hunt’s third platform investment in IT Services, joining custom software/application development services firm Improving and Dataprise, an IT managed services in the fund’s portfolio.

Trinity Hunt Acquires Keste: Executive Commentary

Howard Moore, CEO, Keste
Howard Moore, CEO, Keste
Sri Ayyeppen, President & CTO, Keste

In prepared statements, Moore and Ayyeppen commented on the deal:

“We chose Trinity Hunt as our partner due to their experience in IT services, focus on preserving strong cultures and their track record of growth through acquisition strategies. We believe this partnership will fuel our company’s growth and strengthen our capabilities for our customers and our employees.”

Blake Apel, partner at Trinity Hunt Partners, said:

“We are thrilled to partner with Howard, Sri, and the entire Keste team as the first acquisition as part of our thesis in the digital transformation space, focused on service providers who modernize, integrate and migrate enterprise architectures into cloud-oriented environments,” said Apel. “We are excited to build upon their success and significantly scale the business through add-on acquisitions.”

MSP Mergers, Acquisitions: Deal Flow

M&A activity in the IT services market slowed a bit when the coronavirus pandemic took hold in North America, but deal flow worldwide began to re-accelerate in the May 2020 timeframe, ChannelE2E has reported.