Business management software company Apptio has been bought out by PE major Vista Equity Partners in a $1.94bn deal
The tech-focused PE firm offered $38 per share of the business, representing a 53 per cent premium on its closing price on November 9.
Apptio provides a cloud-based business management system, which allows clients to manage, plan and optimize their technology investments. Apptio’s products include IT financial management, cost transparency, cloud cast management, IT planning, IT benchmarking, business insights and bill of IT. Its software empowers IT finance to align spend with business priorities, enabling users to make informed budgeting decisions, reduce risk to the business, and spend smarter according to its website.
The deal is expected to close in the first quarter of next year, but is subject to a 30 day ‘go shop’ period.
“Today, with companies across sectors increasingly depending on technology to stay competitive, IT is becoming a critical component for every business on the planet, and Apptio has created the leading platform to help customers manage this new paradigm,” said Brian Sheth, co-founder and president of Vista.
“We’re thrilled to partner with Sunny and the entire Apptio team on the next chapter in the company’s growth.”
The company had recently IT business management provider bought Digital Fuel from Skyview Capital.
Vista is said to be looking to pick up $12bn for Fund VII according to investor documents reportedly seen by Private Equity International. Last month the fund received a $100m commitment from Connecticut Retirement Plans & Trust Funds. The New York State Common Retirement Fund also put aside a $750m commitment for the vehicle.
Earlier this year Vista used its Endeavor Fund to make a strategic investment in Boston-based logistics company Dispatch, alongside GrandBanks Capital.
