CLX Networks AB Sale of minority stake to Neqst
An industry leader emerging in the mobile sector.
May 2011 - GP Bullhound acted as the exclusive financial advisor to CLX Networks AB on its sale of a minority stake to to Neqst Partners AB, the Swedish venture capital firm. As part of the transaction, Neqst has also completed a private placement of growth capital in CLX Networks.

CLX Networks offers large-scale, high-speed, carrier-grade guaranteed SMS delivery solutions to Enterprises and Mobile Application Service Providers in the high growth Application to Person communication segment of the SMS market. CLX enables mobile operators to capitalise on mobile enterprise messaging by reselling operator’s SMS capacity across its customer base by handling all of the technology support, billing and reporting. The Company was profitable in its first quarter of operations and has demonstrated sustained and impressive revenue, cashflow and profit growth since then.

Johan Hedberg, CEO and Co-founder of CLX Networks commented: “Our business is expanding faster than ever and as we tackle new markets and opportunities, we are delighted to have Neqst as an institutional shareowner in the Company. The Neqst team has deep experience in our industry and clearly demonstrated that they were the right new partner for us. We are furthermore pleased to have chosen GP Bullhound as our advisor for this transaction. They helped us manage a competitive process and showcased with its breadth of reach and industry understanding, why it is one of Europe’s leading advisors.”

“It has been a pleasure to work with CLX Networks. This is in our opinion one of the most impressive management teams and businesses that we have seen in the market of carrier-grade mobile solutions. With the combination of CLX Networks and Symsoft and now with Neqst onboard, we are seeing an industry leader emerging. From GP Bullhound’s perspective, we continue to stay highly committed to the mobile sector and to successful European entrepreneurs,” said Per Roman, Partner and co-founder of GP Bullhound.