HYPE, with the support of its management and majority shareholder Main Capital, has acquired HLP, a leading provider of idea management and continuous improvement software. The combination will further strengthen the exceptional market position of HYPE in the continuous improvement software segment.
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Founded in 1997 with headquarters in Eschborn (Germany), HLP employs 26 people and has grown into a leading provider of software solutions that facilitate the processing of ideas in organizations. Its product suite covers a range of topics from idea management & continuous improvement to innovation campaigns. Idea management & continuous improvement are an important pillar to any company in order to collect, categorize, search & evaluate the most valuable untapped opportunities in the organization. Continuous improvement helps to significantly lower the cost of an organization, emphasizing the importance of a well-functioning idea management tool. Moreover, idea management is considered mission-critical by many organizations to safeguard future growth. Consequently, HLP serves a well-diversified client base with 70% of the customers being Tier-1 organizations such as BMW, Henkel, Commerzbank, and Miele.
New technology, innovation, and the ongoing digitalization are constantly reshaping industries and business models. Even though innovation is a core driver for business growth, many companies fail to implement innovation and idea management effectively. Thus, a substantial potential of improving the business remains unseen. In light of this, the idea and innovation management market increasingly gains attention by companies who seek to improve their undynamic processes. Significant market growth rates are driven by companies recognizing the importance of engaging employees and showing appreciation by valuing their ideas as well as by increasing the company’s return on investment through lowering costs and uncovering unnoticed firm insights.
Being responsible for approximately 150 employees in total, the combination of HYPE and HLP will further strengthen the prominent market position of HYPE in the innovation and idea management software market. With HLP, HYPE will benefit from an enthusiastic and highly specialized team in the continuous improvement segment. With its recurring and scalable profile, the combined group will be one of the top addresses in the attractive idea and innovation management market. HLP is the first strategic add-on acquisition for HYPE and represents an important pillar of the joint growth strategy to complement the innovative product and services portfolio and consolidate the strong market position.
Dr. Frank Henningsen (CEO of HYPE): “We are excited to welcome the HLP team on board and are looking forward to working together. With HLP, HYPE’s continuous improvement offering will be expanded, and we will be able to more than ever comply with our customer’s needs. We are proud to play an even more significant role in the idea management and continuous improvement market.”
Nils Landmann (CEO of HLP): “We are happy to become a part of HYPE’s innovative team and be able to provide our customers with the best joined software solution. Combining the knowledge and experience of two successful companies will strengthen the group and secure our strong market position.”
Charly Zwemstra (Managing Partner at Main Capital Partners): “The joined group of HYPE and HLP will be positioned as one of the top addresses for continuous improvement and idea management. We are happy that both management teams get along so exceptionally and expect that the combination of both companies will deliver innovative power and sustainable growth.”
Established in 1997, HLP has quickly grown into one of the leading software providers for Betriebliches Vorschlagswesen (Corporate Suggestions) in Germany. With a particular strength in idea management and continuous improvement related processes, HLP helps its medium to enterprise-sized customers improve daily business processes through well-organized administering of ideas suggested by employees. The company has won multiple innovation awards in the past, such as Top Innovator, and received five stars by the Capital magazine.
Founded as DaimlerChrysler spin-off in 2001, HYPE Innovation has grown to a leading software specialist in the fast-growing enterprise innovation software market. With its approx. 120 employees, HYPE Innovation’s offering supports customers harnessing the collective intelligence of employees, customers, and partners by supporting their innovation ecosystem from early trend scouting and road mapping all the way through to concept creation and innovation portfolio management. The company currently serves a well-diversified and global blue-chip customer base with 220+ customers across various industries.
About Main Capital
Main Capital is a strategic investor with an exclusive focus on the software sector in the Benelux, Germany and Scandinavia. Within this sector, we are the most specialized party in management buy-outs and later-stage growth capital for strategic acquisitions. Main Capital has approximately Euro 1 billion under management for investments in mature but growing software companies in the Netherlands, Germany and Scandinavia. An experienced team of professionals manages the portfolio of software groups from offices in The Hague, Düsseldorf and Stockholm.
In addition to HYPE, the current portfolio of Main Capital Partners includes fast-growing software and SaaS companies such as Pointsharp (Identity & Access Management), Textkernel (HR & AI software), MACH AG (E-Government software), WoodWing (marketing automation), Alfa (healthcare), Exxellence Groep (government software), Optimizers (supply chain software), Assessio (HR & Talent management), GBTEC (process automation / workflow management/ GRC), Onventis (procurement & invoice management), Cleversoft (GRC for financial services), Enovation (Healthcare), SDB Groep (Healthcare), JobRouter (Process automation), GOconnectIT (GEO ICT), Inergy (data driven governmental solutions), MUIS Software (financial administrative), Artegic (marketing automation), OBI4wan (customer engagement & Chatbot platform), b+m Informatik (financial services) and ChainPoint (sustainable supply chain tracking). Successful former companies that have grown substantially under the guidance of Main are: Connexys (HR software), Roxit (municipal software), Axxerion (facility management software), Ymor (APM software), Onguard (credit management), Denit (managed hosting provider) and RVC (Healthcare).