Combination of Epicor and Activant to create a global leader in business software solutions
If you are looking for a new Talent Management System, or any HR system, don’t rely solely on “recommendations” or published reports. Do yourself a huge favor and talk to HRchitect first. After 14 years, HRchitect has unparalleled knowledge of the HR and Talent Management vendor community and can save you time and money in selection and implementation. Simply put, do not invest in any kind of HR technology without consulting with the experts first. HRchitect is always available to help!
Funds advised by Apax Partners, one of the world’s leading private equity firms, with a strong heritage of technology investment, today announced that they have entered into definitive agreements to acquire Epicor Software Corporation (NASDAQ:EPIC – News), a leading provider of enterprise business software solutions for the midmarket and divisions of Global 1000 companies, and Activant Solutions, Inc., a leading technology provider of business management software solutions for mid-market retail and wholesale distribution businesses. The combined transaction is valued at approximately $2 billion.
Apax intends to combine Activant and Epicor to create one of the largest global providers of enterprise applications focused on the manufacturing, distribution, services and retail sectors. Following completion of the merger, the combined company will be named Epicor Software Corporation and will no longer be a publicly traded company. It will have over 30,000 customers and $825 million in annual revenues.
“We are extremely excited to be bringing together two premier enterprise software companies through this innovative transaction to create a global market leader,” said Jason Wright, a Partner at Apax Partners. “Epicor is a true innovator, offering deep industry-specific functionality globally across its targeted verticals. Activant is a recognized leader in providing comprehensive ERP and Point-of-Sale software to the distribution and retail markets predominately in North America.
“In addition to the immediate product and service portfolio enhancements that will result from the combination, both companies’ customers will benefit from the strong financial backing of Apax Partners and our commitment to building the new Epicor into the global leader for enterprise business applications,” continued Wright. “We look forward to partnering with both management teams and to providing the resources and support that can accelerate the growth and expansion of the business and the value it creates globally.”
Technology & Telecom is one of Apax Partners’ five core industry sectors. Notable current technology investments include TIVIT, a provider of integrated IT and BPO services in Latin America; Sophos, an IT security and data protection software firm; iGate/Patni, a global IT services provider; TriZetto, a provider of enterprise applications to the healthcare payor market; SMART Technologies, a provider of interactive collaboration products; and RealPage, a property management software solutions provider.
Jefferies & Company Inc. and RBC Capital Markets are acting as financial advisors to Apax Partners. Kirkland & Ellis LLP is acting as legal advisor to Apax Partners. It is expected that the acquisitions will close by the end of the second calendar quarter of this year.
For more information visit: www.apax.com.
Matt Lafata, HRchitect