H.I.G. Capital to acquire Converge Technology Solutions

H.I.G. Capital, a Miami-based private equity firm, has agreed to acquire Converge Technology Solutions, a Gatineau. QC-headquartered IT consulting firm.

The all-cash transaction, which values Converge at $1.3 billion, will take the TSX-listed company private.

Converge was founded in 2016 and grew rapidly via a steady flow of acquisitions. The company has grown to more than 3,000 employees across 60+ offices in Canada, the US, Mexico, Germany, and the UK.

Converge has practices in advanced analytics, application modernization, cloud platforms, cybersecurity, digital infrastructure, and digital workplaces.

H.I.G. will combine Converge with portfolio company Mainline Information Systems, a Tallahassee, Florida-based IT consultancy focusing on enterprise server, hybrid cloud, cyber storage, and network and security solutions. Mainline has over 500 employees.

H.I.G. says the two firms have complementary capabilities.

“We are excited to combine Converge with H.I.G.-owned Mainline, a company that has advised IT decision-makers in handling their most mission-critical workloads for decades,” said Aaron Tolson, managing director at H.I.G. Capital. “The combined company will bring a breadth and depth of technology and services capabilities to its customers and OEM partners that is differentiated in the areas of core data center infrastructure, networking, security, and hybrid cloud."

The combined company will draw its leadership team from both Converge and Mainline. Converge CEO Greg Berard will serve as CEO of the combined business and Mainline president and CEO Jeff Dobbelaere will serve as president.

“As technology continues to reshape industries worldwide, delivering comprehensive and forward-thinking solutions is vital to helping our clients succeed. We're excited to continue leading the way as a transformative force in the IT industry," Berard said.

H.I.G. Capital has more than 100 companies in its portfolio and $67 billion of capital under management.