Deal announcement

goetzpartners advised Telio Management

15. Juni 2021

goetzpartners advised Telio Management and DBAG Fund VI with a Commercial Vendor Due Diligence

goetzpartners advised Telio Management and Deutsche Beteiligungs AG ("DBAG Fund VI") with a Commercial Vendor Due Diligence on the sale of Telio Management GmbH ("Telio"), the European leader in the provision of technology and communication services to correctional facilities, to Charterhouse Capital Partners LLP ("Charterhouse"). In addition, goetzpartners supported in the formulation of a go-to-market strategy for Telio's new business segment.

The Commercial Vendor Due Diligence comprised a detailed business model analysis including a comprehensive technology and KPI assessment to quantify underlying business model dynamics. In addition, goetzpartners documented and assessed the company's strategic repositioning especially in the light of new products and services for authorities and inmates. Thus, the bottom-up market model covered the company's established telephony communication solutions as well as its emerging detection and jamming and digital services offerings. The market analysis concluded with an assessment of the sustainability of COVID-19 effects on Telio's relevant market. Regarding the future strategic development of Telio, goetzpartners assessed several growth options and supported in the formulation of a go-to-market strategy for the detection and jamming business segment. The business plan's achievability was evaluated on the basis of the company's large contract portfolio with strong revenue visibility as well as global expansion potential with existing and new solutions.

About Telio
Founded in Germany in 1998 and headquartered in Hamburg, Telio is a full service provider of essential telephony, video visitation solutions and jamming technology to correctional facilities. Telio delivers critical infrastructure to the public sector, providing its unique solutions to 21 markets globally and serving over 700 correctional facilities across EMEA and Australia. Telio’s services are purposefully designed to be affordable, and to enhance inmate and guard welfare whilst supporting inmate rehabilitation and reintegration into society.

About Deutsche Beteilungs AG
Deutsche Beteiligungs AG, a listed private equity company, initiates closed-end private equity funds, and itself invests alongside those funds predominantly in well-positioned mid-market companies with development potential. For many years, DBAG's focus has been on industrial sectors. A growing portion of DBAG's equity investments is now deployed in the growth sectors of broadband/ telecommunications, IT services/ software, and healthcare. Its long-term, value-enhancing entrepreneurial investment approach makes DBAG a sought-after investment partner in the German-speaking world. DBAG Group's assets under management or advisory amount to 2.5 billion euros.

Transaction Team

Dr. Alexander Henschel
Managing Director

Dr. Sigurd Kitzer

Alexander Reitmann

Lukas Dörrig

Edwin Steffan

Rosa Frehen
Associate Consultant

Thomas Kotschi
Associate Consultant