Investment funds managed by Morgan Stanley Private Equity Secondaries, in collaboration with RunTide Capital, have completed an equity financing to finalize the merger of ATSG and Evolve IP. This merger aims to form a leading global IT managed services provider, serving over 1,700 customers worldwide.
ATSG is known for its cloud technology, IT managed services, and cybersecurity solutions. Meanwhile, Evolve IP specializes in desktop-as-a-service and unified communications. The new entity is expected to enhance service capabilities and address complex technology challenges faced by clients.
Dan Wieder from Morgan Stanley Private Equity Secondaries stated: "We are thrilled to partner with RunTide Capital to support a transformational combination of two attractively positioned IT services companies. The combination creates a scaled platform with a best-in-class suite of solutions led by an experienced management team."
Morgan Stanley initially invested in ATSG through a continuation fund transaction in January 2021. Rob Manning of RunTide Capital expressed excitement about the partnership's future: "The opportunity to bring together ATSG and Evolve IP marks an exciting new chapter in our IT outsourcing investment thesis."
RunTide Capital focuses on building tech-enabled growth companies, while ATSG delivers digital transformation services globally. Morgan Stanley Private Equity Secondaries seeks innovative private market solutions and has deployed significant capital across various transactions.