News

2022

SMART ID DYNAMICS, OWNED BY SARMIS CAPITAL, TAKES OVER THE BUSINESS ACTIVITIES OF SPECTRUM (MAY 2022)

Bucharest, 31 May 2022

Smart ID Dynamics, the independent leader in the Romanian industrial automation sector and backed by SARMIS Capital, has fully taken over Spectrum, a provider of integrated software solutions based in Brasov, Romania, a company with over 20 years of experience in offering software, hardware and post-implementation support services to its clients. The transaction closed in May 2022. 

Smart ID Dynamics specializes in providing highly customized end-to-end automation solutions for intensive business environments, primarily to customers in industries such as retail, logistics and manufacturing, with the purpose of optimising costs and increasing productivity. The company has a proven track record of delivering mission-critical, proprietary, tailored solutions across the value chain, from solution design & development to implementation and post-implementation maintenance & support. Despite a global challenging environment, the company managed over 20% growth in 2021.

The company was founded in 2010 by two technology passionate entrepreneurs, Daniel Boangiu and Romeo Iacob, who believed early in the future of automation and mobility technologies.

As an integrator of cutting-edge technologies, Smart ID Dynamics prides itself on a remarkable client base of around 3,000 businesses and over 250 implemented projects. All business solutions are tailored to the needs of clients operating primarily in retail, logistics, manufacturing, utilities, and healthcare. Smart ID has developed an impressive client base which includes blue-chip multinational companies (Carrefour, Selgros, REWE, Leroy Merlin, British American Tobacco, JTI, Philip Morris, TNT, DHL, KLG, XPO, IDL, Dacia), large local companies (eMAG, Sameday, Cargus, Macromex), and reputable small and medium businesses. The company proactively anticipates the needs of top businesses in terms of innovative technology and is knowledgeable about trends in intensive business environments. 

Spectrum was founded in 1999, in Brasov (Romania), by Mr. Emil Gall, and became one of the most reputable local providers of integrated and patented software solutions, with a wide presence across retail, manufacturing, meat processing, HoReCa, healthcare and recycling. Its well-known clients include Agra’s, Annabella, Auchan, Bebe Tei, Dacia Market, Diana COM, Humanitas, Moldovan Carmangerie, Prodlacta, Sergiana, Simigeria Petru, Transavia, Unicarm, among others. The company’s most sough-after product is Sceptrum, and Enterprise Resource Planning (ERP) system, which is patented and highly flexible, addressing critical corporate needs such as inventory management, accounting and third party management (clients, sales and support teams).

Cezar Scarlat, Managing Partner şi cofondator SARMIS Capital“We adhere to the agreed strategy with the founders of Smart ID Dynamics and focus on strengthening of the company’s leading market position through organic growth and acquisitions. Taking over Spectrum is based on a solid rationale, considering the compatibility between the two businesses and the common desire to offer ever-improving services to their clients. Spectrum is complementary to Smart ID Dynamics, improving the product offering available to the companies’ customers, but also increasing the potential for diversifying and creatig new software solutions. Smart ID Dynamics solidifies its position as the largest independent player in its sector in Romania, and SARMIS Capital continues to be by its side in this expansion process.”

Daniel Boangiu, CEO and co-founder of Smart ID DynamicsThis is a crucial time for the future of our organization, and the acquisition of Spectrum is a first step in the development of Smart ID Dynamics after SARMIS Capital has become a shareholder. It is part of our vision to invest in companies that sell proprietary IP solutions and to create synergies that benefit our market. Spectrum is a team with 100% Romanian DNA and this acquisition helps us to develop our capabilities and competencies, to extend our scope and, at the same time, to enhance the presence of Smart ID Dynamics in the vertical retail and manufacturing segments. I believe that working together as an extended team we will be able to explore and seize new opportunities, and that this acquisition will allow Smart ID to combine its proven know-how in complex solutions with the software-scaling functionalities and capabilities developed by Spectrum.

Emil Gall, founder of Spectrum: “For us, the Spectrum team, the decision to join Smart ID Dynamics has come naturally. The approach promoted by Smart ID Dynamics and its stakeholders has set the direction for our future development. The solutions and the know-how developed across over 20 years of existence, as well as the consideration and care shown to the extraordinary people in the Spectrum family during the transfer make us confident that our activity and achievements are truly valued and will be brought to a new level.”

Smart ID Dynamics was assisted in the acquisition by bpv Grigorescu Ștefănică (legal), Dobrinescu Dobrev SCA (tax), Path-Finder Corporate Finance (general assistance) and TS Partners (financial), while Spectrum was supported in the sale process by LC Legal Proof – Alex Lefter (legal).

Any further enquiries regarding this press release may be addressed at email bianca.neacsu@smartid.ro.

 

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SARMIS Capital is a leading independent private equity fund manager established in 2019, focused on mid-market opportunities in Central and Eastern Europe. It is the largest private equity fund raised in, and dedicated to investing primarily in, Romania and adjacent countries.

SARMIS looks to partner with and support mid-market entrepreneurial companies to prosper and grow, by working closely and collaboratively with their management teams and by contributing substantial strategic, operational and management expertise. Headquartered in Bucharest and built on the established reputation of its founding partners, the fund is sector agnostic. It searches for the best opportunities to create value and aims to transform its portfolio investments into local/regional champions in their fields. The fund focuses on projects alongside local entrepreneurs, seeking majority shareholdings by investing €10-30 million tickets (larger participations are possible).

SARMIS Capital’s first fund is backed by some of the most prestigious counterparties around the world, including endowments, development financial institutions, family offices and high net worth individuals. It is supported, among others, by the JEREMIE Holding Fund Romania, an investment programme between EIF and the Government of Romania, whereby EIF acts on behalf and in the ultimate benefit of the Government of Romania and invests reflows generated by operations implemented under JEREMIE Holding Fund Romania during the eligibility period 2007-2013. Furthermore, it benefits from the financial backing of the European Union under the Equity Facility for Growth established under Regulation (EU) No 1287/2013 of the European Parliament and the Council establishing a Programme for the Competitiveness of Enterprises and small and medium enterprises (COSME) (2014-2020).

Sarmis Capital INVESTS in SMART ID dynamics, LEADING INDEPENDENT ROMANIAN PROVIDER OF automation SERVICES (JANUARY 2022)

Bucharest, 27 January 2022

SARMIS Capital, the largest private equity fund dedicated to Romania and neighbouring countries, acquired the majority stake in Smart ID Dynamics, a market-leading Romanian automation company. SARMIS is partnering with Mr. Daniel Boangiu, the CEO and co-founder of the company, and with Mr. Romeo Iacob, co-founder and Board Advisor, aiming to further consolidate SMART ID’s market position and expand internationally.

Smart ID specializes in providing highly customized end-to-end automation solutions for intensive business environments, primarily to customers in industries such as retail, logistics and manufacturing, with the purpose of optimising costs and increasing productivity. The company has a proven track record of delivering mission-critical, proprietary, tailored solutions across the value chain, from solution design & development to implementation and post-implementation maintenance & support. Despite a global challenging environment, the company managed over 20% growth in 2021.

The company was founded in 2010 by two technology passionate entrepreneurs, Daniel Boangiu and Romeo Iacob, who believed early in the future of automation and mobility technologies. During its 11 years of activity, Smart ID services have been successfully delivered to more than 3,000 clients in more than 250 completed projects and currently the company serves an impressive portfolio that includes blue-chip multinational companies (such as Carrefour, Selgros, REWE, Leroy Merlin, British American Tobacco, JTI, Philip Morris, TNT, DHL, KLG, XPO, IDL), large Romanian companies (such as eMAG, Sameday, Cargus, Dacia, Macromex), as well as numerous reputable SMEs.

Constantly improved and highly scalable, the transformative solutions that the company provides are aimed at digitalization, mobility, automation and robotisation of each customer’s needs, and have turned Smart ID into a trusted, long-term Partner for its top local and international clients.

Cezar Scarlat, Managing Partner and co-founder of SARMIS Capital, said: “We firmly believe in the impact that technology, through automation and digitalisation, will have in the region’s economic growth and future. Smart ID garnered our attention and convinced us with its strong results, being not just a software integrator but an end-to-end Romanian independent solutions provider, with an ambitious and excellent technical management and execution teams. We envision multiple avenues through which we can tangibly contribute to the company’s expansion. Through the new partnership, Smart ID will fully benefit from Sarmis’ strategic expertise and financial power, having at its disposal EUR 20-30m for organic growth and acquisitions.”

Daniel Boangiu, CEO and co-founder of Smart ID, said: “We are honoured we earned the trust of SARMIS Capital. We believe this deal will make us a formidable player at both local and regional levels. Our responsibility from now on is to make the deal create unmatched value for the company, by adding to the resources that helped us to become one of the most important companies in the industries we are targeting and to our most important asset – our people, a unique combination of experts, new capabilities, new technologies, better processes and, most of all, better solutions for our existing and future customers.

Importantly, this deal helps us to keep our purpose alive, and to become more powerful and more focused, as to build a promising future for our customers, our employees, our Partners, investors and our communities. We expect to bring innovation, embedded expertise, technologies of the future and financial power to keep growing and improving, providing a better life and better possibilities. With all these in place we will build the strongest regional player.”

Under the new shareholding structure, Smart ID plans to consolidate the company’s leading position through the accelerated development of the business and increase of its client base, branching out with proven, successful solutions towards new sub-sectors, as well as through strategic local and regional acquisitions, all of these with a continued focus on ESG (Environmental, Social, Governance), sustainability and CSR (corporate social responsibility).

Following this deal, Daniel Boangiu will remain an important shareholder and continue to act as the CEO of Smart ID, with full responsibilities regarding the company’s strategy execution.

SARMIS was advised in this process by Radu Tărăcilă Pădurari Retevoescu SCA (RTPR) (legal and transactional), EY Romania (financial and tax), Kearney (commercial). Smart ID and its shareholders were advised by bpv Grigorescu Ștefănică (bpvGS) (legal and transactional), Dobrinescu Dobrev SCA (tax) and Path-Finder Corporate Finance (sell-side advisor). Special thanks go to Kogaion Investments who was instrumental for the deal in multiple roles.

Smart ID is the second investment made by SARMIS Capital in Romania, after the recent acquisition of a majority stake in Corporate Office Solutions – COS (leading provider of custom fit-out services).

Any further enquiries regarding this press release may be addressed at email: cornelia.ureche@smartid.ro

 

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SARMIS Capital is a leading independent private equity fund manager established in 2019, focused on mid-market opportunities in Central and Eastern Europe. It is the largest private equity fund raised in, and dedicated to investing primarily in, Romania and adjacent countries.

SARMIS looks to partner with and support mid-market entrepreneurial companies to prosper and grow, by working closely and collaboratively with their management teams and by contributing substantial strategic, operational and management expertise. Headquartered in Bucharest and built on the established reputation of its founding partners, the fund is sector agnostic. It searches for the best opportunities to create value and aims to transform its portfolio investments into local/regional champions in their fields.

SARMIS Capital’s first fund is backed by some of the most prestigious counterparties around the world, including endowments, development financial institutions, family offices and high net worth individuals. It is supported, among others, by the JEREMIE Holding Fund Romania, an investment programme between EIF and the Government of Romania, whereby EIF acts on behalf and in the ultimate benefit of the Government of Romania and invests reflows generated by operations implemented under JEREMIE Holding Fund Romania during the eligibility period 2007-2013. Furthermore, it benefits from the financial backing of the European Union under the Equity Facility for Growth established under Regulation (EU) No 1287/2013 of the European Parliament and the Council establishing a Programme for the Competitiveness of Enterprises and small and medium enterprises (COSME) (2014-2020).

2021

Sarmis Capital invests in Corporate Office Solutions – COS, the leading Romanian provider of custom fit-out services (OCTOBER 2021)

Bucharest, 19 October 2021

SARMIS Capital, the largest private equity fund dedicated to Romania and neighbouring countries, has acquired a significant majority stake in Corporate Office Solutions (COS), the leading integrated office fit-out services provider in Romania, for an undisclosed amount. SARMIS is partnering with Mr. Christophe Weller, the CEO and founder of the company, supporting him in achieving an accelerated growth strategy.

COS is the undisputed market leader in the office fit-out solutions space in Romania. It was the first local company to provide fully integrated “design & build” services and has continuously developed its range of services, having a proven track record of successful delivery of large-scale projects for blue-chip clients (such as Microsoft, Google, Amazon, UiPath, ING, KPMG, Accenture, Nestlé). Since its founding in January 1998, the company has grown to become the leading specialist in Integrated Design and Build solutions for interior spaces, including workplace consultancy, conceptual and architectural/mechanical and electrical design, supply and installation of furniture, floorings, light fixtures and interior partitions, as well as turnkey interiors construction fit-out covering all architectural and M&E parts. During its 24 years of activity, the company has delivered professional services and top-quality products to more than 2,300 clients that needed to create or transform their workspaces, in more than 17,000 successful projects. COS holds the sole local authorized dealership of Steelcase (worldwide leader in the office furniture industry, who first awarded the company the coveted Platinum status in 2016) and is also the representative of Interface (worldwide leader in modular carpet industry), in addition to other reputable brands. The company operates from local offices in Bucharest, Cluj-Napoca, Timisoara and Iasi.

COS aims to enhance its business model further under the new shareholding structure, by actively focusing on ESG and Corporate Social Responsibility initiatives, expanding to new sectors (such as private healthcare, private education and hospitality) and geographies, both organically and through strategic acquisitions.

“After 24 years in Romania, COS needed a change to keep stretching its market coverage, geographically and in new business segments, and accelerate its growth by reaching new heights. By partnering with the SARMIS team and benefiting from its focus and know-how in supporting entrepreneurial companies, we are developing an ambitious and creative business model that will sustain COS leadership position for many years ahead.”, said Christophe Weller, CEO and founder of COS.

“From our very first discussions with Mr. Weller, it was obvious that SARMIS and COS share the same values and objectives: the highest standards of work, services and product quality, efficiency and maximization of potential, leadership in one’s field and a committed interest in sustainability. Partnering was therefore a natural, logical outcome. We look forward to strengthening the market leader with our proven consolidation capabilities, financial backing and expertise, as well as supporting its development on a regional scale.”, said Cezar Scarlat, Managing Partner and co-founder of SARMIS Capital. “Our investment in COS is just the first of many aimed at supporting local entrepreneurs and their interesting business projects. We see a lot of potential in various market sectors and are excited to support the local ecosystem grow.”, added SARMIS representatives.

For this transaction, SARMIS was advised by Radu Tărăcilă Pădurari Retevoescu SCA (RTPR) (legal and transactional) and PwC Romania (financial, tax and commercial), while COS’s legal advisor was Ariana Lăța from Lăța & Associates.

 

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SARMIS Capital is a leading independent private equity fund manager established in 2019, focused on mid-market opportunities in Central and Eastern Europe. It is the largest private equity fund raised in, and dedicated to investing primarily in, Romania and adjacent countries.

SARMIS looks to partner with and support mid-market entrepreneurial companies to prosper and grow, by working closely and collaboratively with their management teams and by contributing substantial strategic, operational and management expertise. Headquartered in Bucharest and built on the established reputation of its founding partners, the fund is sector agnostic. It searches for the best opportunities to create value and aims to transform its portfolio investments into local/regional champions in their fields.

SARMIS Capital’s first fund is backed by some of the most prestigious counterparties around the world, including endowments, development financial institutions and high net worth individuals. It is supported, among others, by the JEREMIE Holding Fund Romania, an investment programme between EIF and the Government of Romania, whereby EIF acts on behalf and in the ultimate benefit of the Government of Romania and invests reflows generated by operations implemented under JEREMIE Holding Fund Romania during the eligibility period 2007-2013. Furthermore, it benefits from the financial backing of the European Union under the Equity Facility for Growth established under Regulation (EU) No 1287/2013 of the European Parliament and the Council establishing a Programme for the Competitiveness of Enterprises and small and medium enterprises (COSME) (2014-2020).