Swedish private equity investor EQT Partners has emerged victorious in the heated competition for Austrian-based IT automation solutions provider UC4 Software GmbH, agreeing a EUR220m (USD270m) deal with its owner The Carlyle Group (NASDAQ:CG), the Financial Times reported citing knowledgeable sources.
The newspaper was told that the parties were expected to make the announcement today. Arma Partners served as adviser to Carlyle, while Lazard Ltd (NYSE:LAZ) acted on behalf of EQT, the FT added.
According to the article, this is among a handful of recent deals to see a large European-based software company go to a buyer from the continent. The majority of sizeable transactions have involved US buyers, for example the acquisitions of British Misys Plc (LON:MSY) and Autonomy Corp Plc by Vista Equity Partners and Hewlett-Packard Company (NYSE:HPQ) respectively.
Carlyle bought UC4 in 1996. The company’s area of business, IT automation, has become the focus of much attention due to being perceived as crucial amid the accelerating shift to cloud-hosted systems.
UC4 generates some USD100m in annual revenues and serves in excess of 2,000 customers. It has a number of blue-chip clients on its list, among them BT Global Services, TUI AG (ETR:TUI1) and Societe Generale SA (EPA:GLE). UC4’s most recent EBITD is estimated in the region of USD25m, the FT said.