TeamViewer has entered an agreement with Carlyle Europe Technology Partners (CETP), part of the global investment firm Carlyle Group ( CG ) , to acquire 1E, a Digital Employee Experience (DEX) management tools company, for $720 million in a cash-free, debt-free deal.

1E, with around 300 employees, offers a leading DEX platform that boosts IT performance and employee satisfaction through real-time visibility, issue detection, and automated remediation. As of September 2024, it reported $77 million in annual recurring revenue, with over 99% of sales from enterprise clients.

The acquisition integrates TeamViewer's remote access expertise with 1E's autonomous IT platform.

The combined solutions aim to proactively address IT issues, offer efficient remote support, and deliver a comprehensive platform for IT operations, intelligent endpoint management, and improved digital workplace experiences.

The transaction is expected to close in early 2025, pending regulatory approvals. Post-closing, the net leverage ratio is projected at 3.3x Adjusted EBITDA, with plans to reduce it below 2.0x by FY 2026.

“With the acquisition of 1E, TeamViewer will enter a new era of intelligent endpoint management by providing customers with a smart solution for preventing and tackling technology issues with minimal friction. Together with 1E, we are ideally positioned to meet growing customer demands for more real-time, automated, and proactive approaches in the IT and the OT space," stated Oliver Steil, CEO of TeamViewer.

Price Action: CG shares are trading lower by 0.06% at $52.36 premarket at the last check Wednesday.