Belgian House of HR acquires SOLCOM

Roeselare (Belgium), 28 January 2022 – House of HR, the leading European service group active in the field of HR, has acquired SOLCOM, a German expert in IT and Engineering recruitment. With the purchase of SOLCOM, a successful company in its field with a latest estimated turnover of €172 million in 2021, House of HR has completed its fourth acquisition in Germany. The HR group has grown steadily in the last few years, thanks to numerous acquisitions but also wanted to put its mark in the IT domain. House of HR is off to a good start to accomplishing this strategic target with its acquisition of SOLCOM and plans to be more present in IT by creating a new branch of acquired companies that specialize in IT.

Acquisition of one of Germany's largest IT service providers

House of HR is taking the next step in its growth process with the acquisition of SOLCOM. The company, headquartered in Reutlingen (Germany), is a leading IT service provider. They recruit experts in IT and Engineering to accompany clients through projects. House of HR has acquired 100% of SOLCOM, and SOLCOM’s management in turn will also invest in House of HR by acquiring shares. The banks that facilitated the acquisition were J.P. Morgan (Coordinator and Active Bookrunner) and ING (Joint Bookrunner)*. With the acquisition of SOLCOM, House of HR is taking over one of the most dynamic companies in their field. The company made an estimated turnover of €172 million in 2021 and continues to grow rapidly.

Rika Coppens, CEO at House of HR: “House of HR is growing fast thanks to organic growth and several acquisitions in recent years, such as in 2021 the Dutch Cohedron, which is active in the public sector or the German avanti that specializes in healthcare. We are very proud to realize this acquisition, as finding successful companies for sale in IT is not easy. It has been a part of our wish list for a long time”.

Fourth acquisition in Germany

Germany is one of the four existing markets that are most important to House of HR, alongside Belgium, the Netherlands and France. Germany has the largest economy in Europe and has therefore an interesting labour market. House of HR already made two acquisitions in the German market in 2016: Timepartner (and its daughter companies Aero High Professionals, Aartos Personalservices and ibb) and Zaquensis. Following some smaller acquisitions in 2017, another acquisition, avanti, followed in 2021. With the acquisition of SOLCOM, House of HR is now estimated to be the third biggest HR company in Germany.

House of HR shows financial strength in uncertain times

House of HR demonstrates that with a clear vision and plan, a lot is possible. A diverse portfolio and strong subsidiaries (PowerHouses) are crucial strengths in House of HR's growth story. Acquisitions in various domains and countries led to stability for House of HR throughout the COVID-19 pandemic. With an international turnover of €1.6 billion in 2020, the company climbed to 22nd place in the international SIA ranking in December 2021, which ranks the strongest HR companies worldwide. The rebound of the sector and the M&A activity of House of HR will result in an estimated €2.2 billion turnover for 2021.

However, House of HR has still been missing a footprint in the IT sector and has bigger ambitions in the healthcare domain. The acquisition of SOLCOM now fills the gap in IT. SOLCOM will strengthen House of HR in its ambition to be more present in IT consulting, an area that is becoming ever more important in all industries. Oliver Koch, who has worked for SOLCOM for almost 15 years, will continue leading the company. He’s been the head of the company for a while and is therefore familiar with its activities.

Oliver Koch, CEO at SOLCOM: “At SOLCOM we feel recognition with the acquisition by House of HR. We look forward continuing to grow and develop our expertise under the wings of Europe’s most exciting HR group. SOLCOM is the first step towards a new IT PowerHouse at House of HR. Together with House of HR, we hope to grow our business even further in Germany and abroad.”

*Due to the deleveraging achieved through 2021, an additional Term Loan B facility of €150m has been agreed upon within the existing Senior Facilities Agreement. This extension enables House of HR to finance the SOLCOM acquisition and to maintain a strategic liquidity position.

End of press release.