EQT has agreed to sell Nexon Asia Pacific to Adamantem Capital.

Nexon Asia Pacific, based in Sydney, provides digital and IT services to mid-market and enterprise clients across Australia.

Since EQT acquired the company in 2019, Nexon has grown its workforce from 150 to over 600 employees and now serves more than 1,000 customers.

During EQT’s ownership, Nexon completed eight acquisitions, expanding its service offerings and client base.

The sale is subject to standard regulatory approvals. Financial terms of the deal were not disclosed.

🔗 Source: EQT Group

🧠 Food for thought

1️⃣ EQT’s six-year transformation showcases successful buy-and-build execution

EQT’s ownership of Nexon demonstrates how private equity firms can successfully scale mid-market technology services companies through strategic acquisitions.

During EQT’s investment period from 2019 to 2025, Nexon achieved over five-fold growth in sales revenue while expanding from 150 to over 600 employees1. This growth was driven by a combination of organic expansion and eight bolt-on acquisitions, including companies like Liveware Solutions, Veridian Solutions, and Computer Systems Australia1.

The transformation took a company founded in 2000 and repositioned it as a comprehensive digital solutions provider serving over 1,000 mid-market and enterprise customers across Australia1.

This six-year hold period aligns with typical private equity investment timelines, but the scale of operational improvements, such as quadrupling the workforce while achieving 5x revenue growth, demonstrates particularly effective execution of the buy-and-build strategy that has become standard in the fragmented IT services sector.

2️⃣ Recurring revenue models drive private equity appetite for IT services assets

The competitive auction process for Nexon reflects broader private equity interest in technology services companies with predictable revenue streams.

The sale process managed by Houlihan Lokey attracted multiple private equity firms, including Pacific Equity Partners and ultimately successful bidder Adamantem Capital2. This competition was driven by Nexon’s managed IT and cloud services business model, which features recurring revenue streams and an established enterprise client base2.

The appeal of such models extends beyond just revenue predictability, as these businesses often demonstrate strong client retention and opportunities for organic growth through expanding services to existing customers.