Houlihan Lokey Advises Alchemy Technology Group

Transaction: Alchemy Technology Group - Avance

Houlihan Lokey is pleased to announce that Alchemy Technology Group, LLC (Alchemy), a premier value-added reseller and service provider of high-growth software-as-a-service solutions, has received a strategic investment from Avance Investment Management (Avance).

Founded in 2016, Alchemy was purpose-built to go beyond the offerings of a traditional value-added reseller, providing a truly client- and vendor-centric approach. Alchemy serves a loyal and diversified client base across high-compliance end markets, delivering high-impact, critical software solutions, including cybersecurity, identity and access management, hybrid cloud, desktop-as-a-service, and data offerings. With Alchemy’s disruptive, next-generation technologies, deeply embedded vendor and client relationships, differentiated service offerings, and dedicated sales team, the company is well-positioned for future growth.

Avance is a private equity firm with a passion for building great businesses in partnership with talented management teams. Avance focuses primarily on thematic investments within the services, technology, and consumer areas in the U.S., seeking attractive opportunities with catalysts for growth and fragmented spaces with consolidation opportunities. Avance’s team has a long history of partnering with founder-owned businesses, industry executives, and management teams and aims to add value to each investment. Avance has offices in New York and Miami.

Avance will work closely with Alchemy’s founders and existing management team to execute the company’s growth strategy, which includes continued organic initiatives and the pursuit of strategic acquisition opportunities. Avance’s partnership will support Alchemy’s next phase of growth by continuing to expand the company’s commercial organization, building additional service capabilities, adding new software partners, and entering new geographies.

“Our partnership with Avance is a testament to our talented team and the strength of our differentiated offerings,” said Travis Graham and Wes Davis, Co-Founders and Co-Chief Executive Officers at Alchemy. “We are excited to leverage Avance’s deep functional expertise and operational resources to extend our market leadership and enhance our offerings that are truly transformative to our customers’ businesses.”

Mike Quirin, Co-Founder and Chief Revenue Officer at Alchemy, added, “This marks an exciting milestone for Alchemy. Our high-quality, differentiated offerings and exceptional delivery and sales teams have enabled us to establish a track record of growth and success while building a strong reputation with our customers and vendors. Avance’s partnership positions Alchemy to further capture a number of exciting growth opportunities ahead.”

“Alchemy is an industry leader with an exceptional growth profile,” said Steven Lamb, Managing Director at Avance. “As enterprise and commercial clients continue to grow and demand a larger set of software solutions, Alchemy’s growing suite of capabilities and client-centric focus positions the company for continued success. We are pleased to add Alchemy to our growing technology and services portfolio, and look forward to utilizing our proprietary STAGE™ framework to further differentiate Alchemy’s strong market position.”

Houlihan Lokey served as the exclusive financial advisor to Alchemy Technology Group.

Houlihan Lokey’s IT Services team is among the most active M&A advisors in the market, having closed 52 IT services transactions in the past 24 months. This most recent transaction further strengthens Houlihan Lokey’s leadership in the value-added resell and IT consulting services universe, particularly among cybersecurity and next-gen technologies. The transaction highlights continued momentum in Houlihan Lokey’s IT services vertical, which spans cloud/data and analytics, digital engineering, enterprise applications, and managed and security services.

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