Fourth accepts ‘hospitality’ from ECI

Covent Garden-based hospitality industry SaaS company, Fourth Hospitality, has recently undertaken a management buy-out with funding from London-based private equity firm, ECI Partners. As TechMarketView Foundation Service subscribers will know (see IndustryViews Private Equity Q4/2009), ECI has not made a software and IT services investment since early 2009 when it took AIM-listed health and social care player, Ascribe, private. ECI had been quite active in the sector prior. Although terms were not disclosed, ECI typically looks to invest at least £10m in a portfolio company. ECI is installing Neville Davis (former CEO of Compel and current chairman of Ascribe) as chairman to support CEO, Ben Hood. Fourth looks like an ‘interesting ‘company, claiming 12% of the UK market for hospitality software. Good luck to all concerned.