Welsh, Carson, Anderson & Stowe (WCAS), a private equity firm focused exclusively on the technology and healthcare industries, is to acquire a majority equity interest in Avetta, a provider of cloud-based supply chain risk management solutions.
In addition, TCV, a leading provider of capital to growth-stage private and public companies in the technology industry, will acquire a minority equity interest in Avetta, while Norwest Venture Partners (Norwest), a multi-stage investment firm that partnered with Avetta in 2012, intends to retain a portion of its investment in the company, alongside the founders and management.
Avetta provides cloud-based supplier risk management and compliance software that allows enterprises to more effectively manage and qualify service providers performing activities across their global operating sites to drive better safety, regulatory compliance and sustainability outcomes. The Company’s platform centralises the management of contractors in a single system, enabling efficient assessment of safety, compliance and performance records. Avetta’s customers include more than 220 enterprises in over 100 countries. Over 55,000 suppliers and service providers use Avetta’s platform to manage their relationships with enterprise clients.
“We are proud of the role played by Avetta today in connecting the world’s leading organisations with qualified suppliers, contractors and vendors, and look forward to the next phase of our Company’s growth,” says John Herr, Chief Executive Officer of Avetta. “As we welcome WCAS and TCV on board as new partners to Avetta, we also thank Norwest for the support they have provided to our team over the past six years. We are excited to benefit from the combined support and expertise of WCAS, TCV and Norwest.”
Christopher Hooper, General Partner of WCAS, says: “Avetta is a compelling network-based platform given its clear and quantifiable value proposition to both enterprise clients and suppliers, underpinned by a scalable cloud-based software platform and distinguished by a strong leadership team. We look forward to partnering with and supporting John Herr and the broader Avetta team to capitalise on the Company’s significant growth opportunities to build the premier global supply chain risk management platform and continue to enhance safety, compliance and sustainability outcomes for its customers.”
David Yuan, General Partner at TCV, says: “The Avetta platform is unique in that it helps transform how enterprises assess and mitigate risk within their supply chains, simplifying the engagement and evaluation of suppliers to ensure alignment with each client’s unique operating requirements. We are excited to partner with the Avetta team as it pursues a broad range of market opportunities.”
Jon Kossow, Managing Partner at Norwest, says: “This is a fantastic outcome for Avetta’s founders, management team and shareholders. The Company’s technology platform, product roadmap and huge greenfield market opportunity suggest a future that’s just as bright for all parties involved.”
The Company has locations in Utah, California and Texas, with international offices in the UK, Australia and Canada.
