LONDON, February 21, 2023
Stanley Capital Partners (“Stanley” / “SCP”), is delighted to announce the creation of a market leading, intelligent automation and Artificial Intelligence (“AI”) technology consultancy, SCP Digital, following further significant investment as the General Partner to build in-house capability. Seeded with its existing S-Labs platform, SCP Digital will operate independently from SCP and provide services to both SCP portfolio and non-SCP companies.
Stanley’s further investment into SCP Digital represents a powerful step forward to establish a truly global market-leading AI, pure play digital / automation and transformational consultancy.
Today, SCP Digital has a team of more than 85 professionals operating across the EU, US and LATAM and is led by a highly experienced management team who have worked together for more than 20 years, serving an extensive blue-chip client list including Telefonica, VW and Williams Lea among other leading names.
SCP Digital will also create significant and sustainable competitive digital advantages for SCP’s own investments; from the initial diligence stage to assessment post acquisition and ultimately the implementation of transformational growth plans. It is already generating a system-wide, perpetuating impact across the entire portfolio, helping to take portfolio companies from “good to great”.
SCP Digital’s value add was first validated through SCP’s 2022 exit of Noden Pharma (“Noden”) for an outstanding 6.7x / 151% IRR (gross). Noden was acquired in September 2020 with the SCP Digital’s support with a strategy to consolidate the mature-product Speciality Pharma marketplace. This strong return adds to SCP’s total investment track record of 3.3x MOIC / 85% IRR to date across 27 deals and with ~$4.1bn equity invested.
This impact has proven to be repeatable through SCP’s investments in 2022 into two companies, Qinecsa and Laboratoire X.O, for a total equity commitment of $400m, that already showcase the true value-add of SCP Digital. SCP Digital was used to identify attractive relative value in these growth assets and supports Stanley’s ability to buy well in what are widely regarded as highly attractive growth markets. Since the initial investments, SCP Digital’s capabilities have enabled SCP to rapidly completed 5 bolt-on acquisitions for those businesses, enabling Qinecsa to become a technology-enabled pharmacovigilance (“PV”) company and Laboratoire X.O to internationalise its Speciality Pharma platform.
Please find a full summary of Stanley’s 2022 activity here.
Simon Cottle, Founding Partner at Stanley Capital Partners, commented:
“This continued investment into SCP Digital is a truly game changing opportunity for SCP both through accelerating the transformation of our portfolio companies as well as in its own growth. This represents an exciting start to 2023 for SCP and we look forward to continuing the successes of 2022 with a strong platform and pipeline for further growth, targeting an existing $3bn pipeline of potential deal activity.”
James Brooks, Founding Partner at Stanley Capital Partners, added:
“SCP Digital will help us deliver on the opportunities offered by the accelerating use of AI and automation in business today. We are delighted to be ahead of the broader industry adoption curve and we look forward to the outlook for SCP Digital, both in its own development as a strategic part of SCP but also in terms of the sustainable strategic advantage it offers our existing and future portfolio companies.”
For further information, please contact:
EQ
James Culverhouse
+44 (0)20 7223 1100 / +44 (0)7912 508 322
james.culverhouse@eqcorp.co
NOTES TO EDITOR:
(www.stanley-capital.com)
Stanley Capital Partners LLP is a fast-growing European-focused mid-market private equity firm with proven expertise in finding and building value locked up in the growth businesses of tomorrow. The firm brings enhanced efficiency through proprietary research and technology to identify investment opportunities that help deliver lasting transformation in Healthcare, Resource Efficiency and Technology businesses with enterprise values of $250m-2.5bn.
Founded in 2019 by Simon Cottle, James Brooks and Patrick Hargutt, SCP partners with management teams to create value through M&A, operational change, and technology enablement. Including SCP Digital, SCP has a 100+-strong team of professionals, with assets under management of $460m today.