IFM Investors’ Private Equity Team Invests in Zuuse
IFM Investors’ new private equity Growth Fund has made its first transaction, taking a significant minority interest in Zuuse, a fast growing, global provider of construction payment management Software as a Service (SaaS) solutions to the US$1 trillion global construction and building operations sector.
Zuuse is headquartered in Melbourne, Australia and operates under the Payapps brand in Australia, New Zealand and the United Kingdom, and GCPay in North America. Co-founded by Lincoln Easton and Geoff Tarrant, the company commercially launched Payapps in Australia in 2016. Zuuse now has more than 70 employees and over 21,000 clients around the world.
The company has grown strongly during the COVID-19 pandemic as the construction industry continues to move away from hard copy paperwork processes to digital claims management solutions.
The software promotes a transparent, accurate and timely progress claim and approval process to sub-contractors helping to support a fair work environment and greater regulatory compliance. The take-up of its products is also now saving an estimated 13 tonnes of paper globally per year.
The investment of approximately A$50m and was led by Adrian Kerley and Jeremy Larkin from IFM Investors, both of whom will join the Zuuse Board as Non-Executive Directors.
Leigh Jasper will co-invest alongside IFM and will also join the Zuuse Board as a Non-Executive Director. Mr Jasper has over 19 years of leadership experience in the construction and engineering software industry, as co-founder and CEO of Aconex.
IFM’s investment in Zuuse is the second deal for IFM’s newly formed direct private equity team and the first by IFM’s new private equity Growth Fund through an ongoing co-investment strategy with a single client mandate to invest in mid-market growth companies.
The team is led by Stuart Wardman-Browne, a former CHAMP Ventures executive. Senior team members include David Odgers, formerly from Bain Capital, Mr Kerley, recruited from Commonwealth Super Corporation, and Mr Larkin, who joined from JPMorgan.
The new team made its first investment in July 2019 in My Plan Manager, a provider of plan management services to clients in the National Disability Insurance Scheme.
“Private equity is a key growth area for IFM and we see this investment as one that will continue to help IFM deliver on its purpose to protect and grow the retirement savings of working people.”
David Neal, IFM Investors CEO
”Zuuse is an exciting investment for IFM Investors and an ideal fit for our mid-market growth strategy, given its compelling, actionable growth plan and resilient business model.”
Stuart Wardman-Browne, IFM Investors Global Head of Private Equity
“It’s great to partner with IFM – the investment will fund a number of clearly identified growth initiatives and help cement our position as a global industry leader in construction and building operations software.”
Geoff Tarrant, Zuuse Executive Chairman
“I am delighted to be investing alongside IFM. Digital claims management solutions bring enormous efficiency to the construction industry. The market is in the early stages of adoption and I am confident that Zuuse will be able to move rapidly to take advantage of this white space opportunity globally.”
Leigh Jasper, Aconex co-Founder
About Zuuse:
Zuuse is a leading global SaaS provider across the full asset lifecycle, from construction payment applications through to building operations with facilities management and asset lifecycle management. Zuuse’s cloud-based collaboration platforms GCPay and Payapps streamline the progress claims process, enabling transparent, accurate and timely payments and delivering benefits for subcontractors and general contractors. Zuuse’s software solutions support a fair and compliant working environment for the construction and building operations sector, and deliver environmental benefits by digitising existing paper-based systems. Zuuse has over 21,000 customers worldwide as of 30 June 2020, including asset owners, developers, operators, general contractors and subcontractors. For more information please visit www.zuuse.com.
About IFM Investors:
IFM Investors was established more than 25 years ago with the aim to protect and grow the long-term retirement savings of working people. Owned by a group of Australian pension funds, the organisation has A$159 billion under management as of 30 June 2020. Because IFM is owned by industry pension funds, we prioritise the interests of more than 470 like-minded investors worldwide by focusing on assets that combine excellent long-term risk/reward characteristics with broad economic and social benefits to the community. As a signatory to The United Nations-supported Principles for Responsible Investment, IFM actively engages on ESG issues with the companies in which we invest with the aim of enhancing their net performance while minimising investment risk. Operating globally from offices in Melbourne, Sydney, London, Berlin, Zurich, New York, Hong Kong, Seoul and Tokyo, IFM manages investments across infrastructure, debt, listed equities and private equity assets. For more information, visit www.ifminvestors.com
For media queries, please contact: Phil Davey 0414 867 188.
Disclaimer
The following disclaimer applies to this document and any information provided regarding the information contained in this document (the “Information”). By accepting this document and Information, you agree to be bound by the following terms and conditions. This document was prepared solely for informational purposes. The Information does not constitute an offer, invitation, solicitation or recommendation in relation to the subscription, purchase or sale of securities in any jurisdiction and neither this presentation nor anything in it will form the basis of any contract or commitment. IFM Investors Pty Ltd, ABN 67 107 247 727, AFS Licence No. 284404, CRD No. 162754, SEC File No. 801-78649 (“IFM Investors”) will have no liability, contingent or otherwise, to any user of the Information or to third parties, or any responsibility whatsoever, for the correctness, quality, accuracy, timeliness, pricing, reliability, performance or completeness of the Information. Past performance is no guarantee of future performance. In no event will IFM Investors be liable for any express or implied representation or warranty, or any special, indirect, incidental or consequential damages which may be incurred or experienced as a result of you using Information notwithstanding any negligence, default, or lack of care by it or that such loss or damage was foreseeable and even if you have been advised of the possibility of such damages. This Information does not constitute investment, legal, accounting, regulatory, taxation or other advice and the Information does not take into account your investment objectives or legal, accounting, regulatory, taxation or financial situation or particular needs. You are solely responsible for seeking independent advice on this Information, or forming your own opinions and conclusions on such matters and for making your own independent assessment of the Information. This Information is furnished to you on a confidential basis, and should not be reproduced, distributed or provided to any other person without the written consent of IFM Investors.
Investors based in Australia: This Information is provided to you on the basis that you warrant that you are a “wholesale client” or a “sophisticated investor” or a “professional investor” (each as defined in the Corporations Act 2001 (Cth)) to whom a product disclosure statement is not required to be given under Chapter 6D or Part 7.9 of the Corporations Act 2001 (Cth).
Investors based in the United States and Canada: IFM Investors Pty Ltd, ABN 67 107 247 727, AFS Licence No. 284404, CRD No. 162754, SEC File No. 801-78649 (“IFM Investors”). Words such as “expects,” “anticipates,” “plans,” “believes,” “scheduled,” “estimates” and variations of these words and similar expressions are intended to identify forward-looking statements, which include but are not limited to projections of earnings, performance, and cash flows. These statements involve subjective judgement and analysis and reflect IFM Investors’ expectations and are subject to significant uncertainties, risks and contingencies outside the control of IFM Investors which may cause actual results to vary materially from those expressed or implied by these forward looking statements. All forward-looking statements speak only as of the date of this presentation or, in the case of any document incorporated by reference, the date of that document. All subsequent written and oral forward-looking statements attributable to us or any person acting on our behalf are qualified by the cautionary statements in this section. You are cautioned not to rely on such forward looking statements. The achievement of any or all goals of any investment that may be described in this Information is not guaranteed. This Information may contain material provided by third parties for general reference or interest. While such third party sources are believed to be reliable, IFM Investors does not assume any responsibility for the accuracy or completeness of such information.
Investors based in the United Kingdom: This Information is provided to you on the basis that you warrant that you fall within one or more of the exemptions in the Financial Services and Markets Act 2000 (“FSMA”) (Financial Promotion Order 2005) and as a consequence the restrictions on communication of “financial promotions” under FSMA and FCA rules do not apply to a communication made to you.
Investors based in Japan: This material is prepared by affiliates of IFM Investors (Japan) Pty Ltd (IFMJ) (Financial Business Operator: Kanto Local Finance Bureau Register Number 2839, a member of the Type II Financial Instruments Firms Association) is not a disclosure document as specified or required under the Financial Instruments and Exchange Act (FIEA) nor is it intended as a solicitation. This material is intended only for use by qualified institutional investors, among professional investors defined in FIEA article 2 item 31 and is not intended for anyone other than the above. This material has been prepared based on information and databases considered reliable by IFMJ but IFMJ does not explicitly or implicitly guarantee the accuracy, timeliness or integrity of their contents. Past investment results do not necessarily give an accurate guide to future investment results or guarantee the prevention of loss. Future prospects based on current opinions and expectations may be included in this material, but IFMJ does not guarantee expected results or prevention of loss against the invested amount and this material may change and result in revisions without prior notice. Our provision of this material should not be construed as our advice to you about any legal issues, taxation, investment or other matters.
Investors based in South Korea: The fund or products mentioned in this document and Information (the “Fund”) has not been registered with the Financial Services Commission of Korea as a foreign collective investment vehicle pursuant to the Financial Investment Services and Capital Markets Act of Korea (the “FSCMA”), and none of the interests in the fund or products may be offered, sold or delivered, or offered or sold to any person for re-offering or resale, directly or indirectly, in Korea, or to any resident of Korea except pursuant to applicable laws and regulations of Korea.
Investors based in Switzerland: This Information is provided to you on the basis that you warrant that you are a Qualified Investor as defined in the CISA and its implementing ordinance (“Qualified Investor”). IFM Investors (Switzerland) GmbH shall have no liability, contingent or otherwise, to any user of the Information or to third parties, or any responsibility whatsoever, for the correctness, quality, accuracy, timeliness, pricing, reliability, performance or completeness of the Information.
Investors based in Hong Kong: This Information is provided to you on the basis that you warrant that you are a “professional investor” (as defined in the Securities and Futures Ordinance and its subsidiary legislation). IFM Investors (HK) Ltd (CE No.: BHP417) will have no liability, contingent or otherwise, to any user of the Information or to third parties, or any responsibility whatsoever, for the correctness, quality, accuracy, timeliness, pricing, reliability, performance or completeness of the Information. This Information has not been reviewed or authorised by the Hong Kong Securities and Futures Commission nor has it been reviewed by any other regulatory authority in Hong Kong.