Alceon Private Equity Access Fund invests in Engage Squared

Engage Squared has secured a growth investment from Alceon in the first deal for Alceon's Private Equity Access Fund.

Financial terms were not disclosed. The funding will support Engage Squared's expansion across Asia Pacific, with investment in AI, data and agents, additional hiring, and selective acquisitions.

Engage Squared is an independent Microsoft partner with more than 170 employees across Australia, New Zealand and Japan. The consultancy works with large organisations in the region on AI, employee experience, security and data projects.

Alceon's Private Equity Access Fund targets founder-led businesses in Australia and New Zealand, focusing on companies with strong cashflow generation, growth prospects and opportunities for operational improvement.

The investment comes as demand for corporate AI deployment moves beyond pilot projects. Engage Squared helps clients shift AI use from experimentation to broader adoption across their businesses.

Its standing in the Microsoft ecosystem has been central to that position. Engage Squared has received Microsoft partner awards including Global Partner of the Year for Modern Workplace for Frontline Workers and Japan Partner of the Year for Copilot and Agents.

Management changes were also announced alongside the investment. Co-founder Alastair Cashen has been appointed Group Chief Executive Officer, while Claudia Piscitelli has been appointed Executive General Manager, Australia.

Expansion plans

The fresh capital will be used to deepen Engage Squared's AI-related services and broaden its reach in the region. The company is also interested in acquisitions that would add expertise and expand market coverage.

That approach reflects a broader trend among technology consultancies seeking scale as customers consolidate spending with a smaller group of advisers. In the Microsoft partner market, specialist knowledge of products such as Copilot and related AI tools has become a differentiator as businesses look for practical returns on technology investments.

Alastair Cashen linked the funding to that demand.

"Engage Squared is in the strongest position we've ever been in. Every day we help some of APAC's leading organisations to turn AI ambition into real business outcomes, moving beyond experimentation to enterprise-scale adoption and transformation. This investment will accelerate that momentum," said Cashen. 

"Alceon's track record of partnering with high-growth businesses, combined with our deep Microsoft expertise and market leadership, gives us the opportunity to invest further in our people, capabilities and customers," he added. 

Fund debut

For Alceon, the transaction launches a new investment vehicle aimed at the lower mid-market. The fund is designed to give investors exposure to founder-led businesses with room for expansion and a clear path to value creation.

Alceon invests across several asset classes in Australia and New Zealand, including private equity, real estate and hybrid solutions. In this transaction, it will invest its own capital alongside that of fund investors, in line with its standard approach.

Private equity firms have increasingly targeted software, IT services and specialist consultancies in the region, attracted by recurring client relationships and rising technology budgets.

Companies with strong positions in large vendor ecosystems, particularly Microsoft, have become frequent targets because they can benefit from customer demand without the balance-sheet demands of software product development.

Managing Director and Head of Private Equity, Zac Midalia said Engage Squared's market position was a key attraction.

"Engage Squared has established a commanding position within the Microsoft ecosystem, building an impressive reputation for helping organisations translate AI ambition into practical business outcomes. There is a significant opportunity to invest behind that growth story," said Midalia. 

Engage Squared operates from offices in Australia, New Zealand and Japan, giving it a footprint across several of the region's larger enterprise technology markets. Its focus on workplace technology, AI and security places it in segments where corporate demand has remained relatively resilient, particularly as businesses seek to embed generative AI tools into day-to-day operations.

The investment also highlights continued interest from financial sponsors in services firms tied to the AI spending cycle, with Alceon identifying what Midalia called "a significant opportunity to invest behind that growth story. "