EQT Private Equity to acquire Avetta to bolster global supply chain resilience

EQT Private Equity, under its EQT X fund, announced today a significant strategic acquisition, taking over Avetta from Welsh, Carson, Anderson & Stowe (WCAS). This move positions EQT at the forefront of global supply chain risk management, spotlighting Avetta’s leading role in the sector. Avetta’s cloud-based Software as a Service (SaaS) platform has been pivotal in enabling clients worldwide to navigate the complexities of supply chain risks, encompassing health, safety, and sustainability among other critical vectors.

With over two decades of innovation, Avetta has established a substantial global presence, including 12 offices worldwide, more than 750 employees, and an extensive network covering over 130 countries. This network supports over 500 hiring clients and 130,000 contractors in achieving significant reductions in accidents and compliance improvements, alongside heightened operational, sustainability, and ethical standards.

The acquisition by EQT, a firm recognized for its deep software expertise and active technology investments globally, signals a robust commitment to fueling Avetta’s growth and innovation trajectory. Leveraging EQT’s global footprint and digital expertise, Avetta is set to expand its product offerings, integrate advanced AI and automation technologies, and extend its global reach—further solidifying its value proposition to clients and suppliers.

Arvindh Kumar of EQT highlighted Avetta’s leadership position and its SaaS platform’s alignment with EQT’s thematic investment strategy, particularly in addressing supply chain challenges through technology and sustainability. Avetta CEO Arshad Matin expressed enthusiasm about entering a new innovation and growth era with EQT’s partnership, emphasizing the transition’s significance for the supply chain risk management industry.

The transaction, which is expected to see EQT X fund invested at 35-40 percent of its capacity, is subject to customary closing conditions and regulatory approvals. Notably, financial details of the deal were not disclosed.

The strategic evolution and growth of Avetta, particularly through initiatives like the generative AI risk assistant ‘Ask Ava,’ underscore the company’s commitment to leading the SCRM industry into a future marked by enhanced safety and sustainability. The partnership between EQT and Avetta is poised to set new benchmarks in managing global supply chain complexities, with a focus on innovation, resilience, and operational excellence.

The acquisition of Avetta by EQT Private Equity marks a significant milestone in the evolution of global supply chain management. It not only underscores the increasing importance of digital and sustainable solutions in addressing complex supply chain challenges but also highlights the strategic value of innovative SaaS platforms in driving industry-wide resilience and efficiency. This partnership is poised to catalyze the next wave of growth and innovation in the SCRM space, with potential ripple effects across global supply chains.

Key points of EQT Private Equity acquisition of Avetta

• The EQT X fund has agreed to purchase Avetta, a global leader in supply chain risk management software, from Welsh, Carson, Anderson & Stowe (WCAS).
• Avetta boasts over two decades of innovation in the SaaS platform space, managing supply chain risks across health, safety, and sustainability. With 12 offices worldwide, over 750 employees, and a network that spans over 130 countries, Avetta supports over 500 hiring clients and 130,000 contractors.
• Avetta’s platform is crucial for managing the increasing complexities of global supply chains, driven by globalization, digitization, and heightened safety and sustainability requirements.
• EQT intends to leverage its global footprint, digital, and sustainability expertise to support Avetta’s growth, focusing on developing new products and technologies, adopting AI/automation, and expanding globally.
• Statements from Arvindh Kumar (EQT), Arshad Matin (CEO of Avetta), and Christopher Hooper (WCAS) highlight the strategic importance of this acquisition, Avetta’s innovation trajectory, and the anticipated impact on the supply chain risk management industry.
• The transaction’s completion is pending customary closing conditions and regulatory approvals. Advisors include Goldman Sachs & Co. LLC and Kirkland & Ellis for Avetta, and Citi and Ropes & Gray for EQT. Financial terms were not disclosed.

This acquisition signifies a pivotal moment for Avetta and the broader supply chain risk management sector, promising enhanced global supply chain resilience and innovation.