Germany's Mahr EDV charts UK and European expansion after Tenzing investment

Fabian Mahr on the growth and scale that Tenzing's investment brings to his reseller firm

Fabian Mahr, founder and CEO of German reseller Mahr EDV, is unsure how many investors he has spoken to.

Unlike some of his reseller colleagues, Mahr showed patience to "find the perfect partner".

In Tenzing, a London-based private equity manager, he has found not just an investor, but a "likeminded partner" says the VAR founder.

Both companies are looking to capitalise on expansion opportunities, particularly in managed services, cloud and cybersecurity. The focus, according to Mahr, remains on SMEs, Mahr EDV's usual clientele.

Tenzing Fund II is worth £400m and has been investing in B2B software and technology-based service companies for two years.

Mahr is one of 16 "fast-growing companies in the Tenzing portfolio," the investor claims.

The aim is to "lead Mahr to new peaks," says Christian Ramme, who describes Tenzing's market focus as "DACH-led" and has now been able to conclude the first deal with an IT service provider from the DACH region.

Mahr, who has been developing Mahr EDV since 1999, saw rapid growth in 2022. According to his own estimate, the company grew by a third, achieving revenues of €11m, estimated by credit agencies, and a net profit of around €2.2m.

With around 180 employees, Mahr is present in the metropolises of Berlin (headquarters), Düsseldorf, Cologne, Dresden, Leipzig, Essen and Hamburg and currently serves more than 600 SMEs.

Broad vendor know-how

With several awards and certifications in recent years, the reseller is well prepared for international expansion. The company is a Gold Dell partner, holds Platinum status with Sophos and was highlighted as a Starface Excellence partner.

Certifications from Aruba, Cisco, Lancom, Fujitsu and almost 20 from Microsoft, among others, show not only broad technological expertise, but also that Mahr knows how to reduce the risks of the often unpredictable strategies of individual vendors through a vendor-agnostic approach.

Of course, the limiting growth factor, which even investor money cannot compensate for, is the skills shortage.

But a private equity firm specialising in technology, which focuses on more than just returns, can help with an entrepreneurial approach.

Networking among portfolio companies is just one example. This promise may also have persuaded Fabian Mahr to let the British get on board.

"Tenzing's strategic investment gives Mahr access to a rich pool of resources and expertise," it said.

In fact, the partnership may go even further. According to Mahr, acquisitions are not off the table.

Fabian Mahr is well connected in the industry and the "bridge" that Tenzing provides can "lead us quickly into a promising future," he says.

Meanwhile, the British investor benefits from expansion opportunities on the continent.