Hg acquires IT Relation for $21M.

IT Relation, a Herning, Denmark-based supplier of managed IT services to small and medium sized enterprises (SMEs), announced getting into an agreement to get acquired by HgCapital.

HgCapital Trust plc will invest approximately £16M ($21M) in IT Relation, with other institutional clients of Hg investing alongside the Company through the Hg8 Fund.

The transaction was made with current owners of IT Relation, Adelis Equity, which picked up three IT outsourcing businesses – IT Relation, Front-data and DSI-NEXT – and merged them under the IT Relation brand in 2016.

IT Relation, founded in 2003 by CEO Henrik Kastbjerg, provides services which allow SMEs to move their IT infrastructure and operations into the cloud, as well as providing end user support and consulting as part of a full-service IT offering. The company has more than 450 employees supporting thousands of customers and tens of thousands of users in Denmark and around the world.

Henrik Kastbjerg and the rest of the management team, Anders Kaag and Stig Bundgaard, continue their previous roles and with significant owner positions in the company.