XLN Business Services is on the acquisition trail after its private equity backer ECI sold its stake in the company to XLN’s management team in a deal backed by GSO Capital Partners.
The company said the deal will inject new investment into XLN allowing it to expand through acquisition and organic growth.
Former CEO of Travis Perkins and of Brakes, Frank McKay has also been appointed as the new chairman of XLN, taking over from the out-going chairman John Donaldson, who will remain on the board as a non-executive director
XLN was founded in 2002 by CEO Christian Nellemann (pictured). The company provides fixed line, broadband, energy and bank card processing services to small businesses across the UK with a particular focus on micro SMEs with between one and 10 employees.
XLN’s most recent acquisitions are Card Processing Solutions which allows the company to provide a credit and debit card processing service to its customer base, and fixed line provider Shine Telecom.
Tom Wrenn, partner and head of ECI’s TMT team said: ‘It has been a pleasure partnering with an entrepreneur of the calibre of Christian over the past four years and working with him to build a management team capable of delivering his vision for XLN. Since 2010, the business has achieved a huge amount and this deal adds to our strong track record in backing high growth businesses serving the small business market.
‘We wish Christian and XLN every success with their new partner as they continue to offer great value and service to small businesses across the UK.’
Christian Nellemann, founder and CEO of XLN added: ‘I would like to thank Tom and his team at ECI for the significant value that they added to help XLN become the leading supplier of services to small businesses.
‘The backing of GSO, a blue chip investor, is a strong endorsement of our entrepreneurial approach, our high quality management team and the opportunities for acquisitive and organic growth that we have.
‘I look forward to widening our crusade to help more of Britain’s Heroes of the Economy, the micro SMEs, get a better deal on business services and receive the world class customer service that they deserve.’
Frank McKay, new chairman of XLN said: ‘I am delighted to be joining such an exciting and fast moving company and supporting Christian and his team in taking XLN to the next level.’