International investment firm BC Partners has agreed to sell a majority stake in global ethics, risk, and compliance management software-as-a-service provider NAVEX to a consortium led by Goldman Sachs Alternatives, including funds managed by Blackstone’s private equity strategy for individual investors.
Under the terms of the agreement, the private equity business at Goldman Sachs Alternatives will take a majority shareholding in the firm. Blackstone will also become a significant minority shareholder.
Funds managed by BC Partners will retain a significant minority shareholding to support NAVEX’s future growth, demonstrating conviction in the business’s continued success. Vista Equity Partners, an existing minority investor, will fully exit its investment in the company. Terms of the transaction were not disclosed.
BC Partners acquired its majority stake in NAVEX in 2018 in a bilateral transaction, having positioned itself as the partner of choice to the company and existing investor Vista.
Leveraging its significant technology sector expertise and owner-operator approach, BC Partners, alongside management, drove significant organic growth and expanded NAVEX’s product capabilities, customer base, and global footprint, becoming the global leader in ethics, risk and compliance management SaaS.
With this transaction, BC Partners has delivered circa €16bn in monetisations over the past 24 months, demonstrating the high quality of businesses and exit optionality which underpin BC Partners’ portfolio and position in the market.
NAVEX was advised by JP Morgan and Simpson Thacher & Bartlett. Goldman Sachs Alternatives was advised by Weil, Gotshal, & Manges.
The transaction, subject to customary closing conditions, is expected to close later this year.
