- Mobica was valued at £250m
- Inflexion made a 5.6x return on investment, according to market sources
- It was the second exit of the year so far for Inflexion
Inflexion has completed the sale of its stake in Mobica, a software development and integration services provider, to Nasdaq-listed Cognizant in a deal that valued the company at £250 million ($302 million; €283 million).
The deal made a 5.6x return on investment for Inflexion, market sources told PE Hub Europe.
Manchester-headquartered Mobica operates out of the UK, Europe and the US and supplies software developers to companies including Google, Arm and Dyson, according to a release.
Inflexion made a minority investment in the firm in 2015. During its involvement, Inflexion invested in sales and software engineering, including building the leadership team and increasing depth and capability across the business, according to a release. It also aided Mobica’s expansion into Germany.
“The leadership team at Mobica have done a tremendous job in growing the business into a leading global player within its specialised software engineering niche,” said David Whileman, head of partnership capital at Inflexion.
Annadurai Elango, executive vice president of Cognizant’s core technologies and insights, said that Mobica’s “large presence in Poland significantly enhances our growing development teams in Central and Eastern Europe.
“We believe combining Mobica’s expertise with Cognizant’s strong IoT and product engineering capabilities will result in enhanced digital transformation outcomes for global clients in the technology and automotive industries and beyond.”
Inflexion is a mid-market private equity firm that makes majority and minority investments, usually of £10 million to £400 million. It has offices in London, Manchester and Amsterdam and funds under management of £8 billion.
Mobica is Inflexion’s second exit of 2023, following that of Scott Dunn. In 2022, it completed nine exits, returning over £1.6 billion to investors, at gross returns of 4.2x and 45 percent IRR.
Cognizant is a multinational IT services and consulting company headquartered in Teaneck, New Jersey. It is listed on the Nasdaq.