Encore demonstrates strong alignment with QPE’s core investment criteria with extremely high degrees of revenue visibility, significant management re-investment and compelling opportunities for accelerated growth. Further, Encore is a leader of quality and professionalism in the industry, defined by a core USP of being “‘Big enough to cope, Small enough to care’, which has been re-enforced through exceptional client feedback through our due diligence process. Operating in a large and stable market with highly predictable growth, the market remains highly fragmented and ripe for consolidation. M&A potential is anticipated to accelerate from new regulatory developments and technology investment required to meet customer needs. The new environment will further displace smaller scale providers, leading to attractive buy-and-build opportunities that have already been qualified by the QPE origination team.
Beyond its differentiated market positioning, Encore’s investment in technology and processes has driven above average growth rates and EBITDA margins. Further, it has excellent revenue visibility due to the embedded nature of its services and high quality offering leading to industry leading levels of customer churn. QPE is excited to back a strong management team who are highly capable, quality-oriented and have a track-record of delivering and integrating multiple value accretive acquisitions.