Clairvest Group, Clairvest Equity sell F12 interests

Executive Summary

• Clairvest Group Inc. (CVG) and Clairvest Equity Partners VI have sold their majority interests in F12.net, a leading Canadian managed service provider, to a private equity firm and existing shareholders.
• The transaction represents a significant financial return for Clairvest, with total sale proceeds of approximately $163 million, yielding a 4.6x multiple on invested capital and a 35% internal rate of return.
• F12.net, which serves over 20,000 users across Canada, has grown substantially under Clairvest’s partnership since 2020, increasing revenue by over 2.5 times and EBITDA by over 3.5 times.

Key Details

• Transaction Structure: Majority investment from a leading middle-market, growth-oriented private equity firm combined with a meaningful equity reinvestment from existing F12 shareholders and the executive team, including founder and CEO Alex Webb.
• Financial Proceeds: Total sale proceeds were approximately $163 million, with Clairvest Group Inc.'s (CVG) portion being $44 million.
• Investment Returns: The sale represents a multiple of capital invested of 4.6 times and an internal rate of return (IRR) of 35%.
• Impact on CVG: The sale has a positive impact on CVG's book value of approximately $1.50 per share over the carrying value as at September 30, 2025.
• Target Company Profile: F12.net is one of Canada's largest privately held managed service providers, serving small- and medium-sized businesses nationwide with offices in Alberta, British Columbia, and Ontario. It delivers services through its proprietary platform, F12 Connect.
• Performance History: Since the partnership began in November 2020, F12 increased revenue by over 2.5 times and EBITDA by over 3.5 times through organic growth and complementary acquisitions.
• Historical Context: This marks Clairvest's third successful realization in the technology service sector, following investments in Meriplex Communications (7.8x realized multiple) and Peer 1 Networks (3.2x realized MOIC).

Notable Quotes

• "From the outset, we were drawn to F12's relentless focus on service delivery and a clear ambition to become the leading managed technology services platform in Canada. Over the course of our partnership, the team successfully expanded F12's capabilities and achieved best-in-class customer and productivity metrics. We are proud to have supported Alex and the broader management team, and congratulate them on this milestone as F12 enters its next phase of growth," — Mitch Green, Managing Director at Clairvest.
• "We partnered with Clairvest in 2020 because of their decade-plus track record of successfully backing entrepreneurs in the technology services sector. With a shared vision, we reached key milestones together and built a platform delivering industry-leading KPIs. I am excited to begin our next chapter of growth as we continue raising the bar for service delivery across Canada," — Alex Webb, Founder and CEO of F12.