Egyptian software company ITWorx has sold a 79% stake in its business to a consortium of investors. The acquisition, which will be used to drive expansion in the Middle East, is being made by EuroMena Fund, a private equity fund dedicated to the MENA region, Islamic venture capital bank Venture Capital Bank and Proparco, the private sector financing arm of the French Development Agency.
ITWorx posted sales of $20 million in 2007, and employs almost 700 people in Egypt, Saudi Arabia the UAE and the US. The remaining 21% of the company will continue to be held by management and employees.
Wael Amin, CEO of ITWorx said: "We are delighted with the recent majority acquisition in ITWorx which is not only a recognition of the success of the company to date but also an enabler to fulfilling our growth plans now and into the future."
The company also aims to raise a second phase of financing, of around $8 million, in 2008 to expand its local presence in key Middle East markets including Bahrain and Kuwait, and also to expand into new industry verticals including construction & real estate and oil & gas.
Gilles de Clerck, senior manager, EuroMena. "The investment into ITWorx is a testament of the company's remarkable successes, the quality of its most important assets its human capital, as well as a vote of confidence in its future development plans."