Fox Paine, a private equity investment and advisory boutique, has completed the sale of Paradigm to Apax Partners and JMI Equity in a USD1bn cash merger transaction.
Paradigm is a provider of geoscience software solutions that optimise the exploration, discovery, and extraction of natural gas, oil, and other subsurface resources.
Saul Fox, Fox Paine’s chief executive, says: "Paradigm’s extraordinary growth over the course of our 10 year association is a result of the company’s unremitting commitment to geoscience and computational research and development, rapidly deploying the results of its prodigious research and development programs to create novel and continuously improve existing exploration and production solutions, and an unflagging commitment to serve and advance the interests of the company’s customers as well as the energy industry more generally."
Fox Paine Fund II, which acquired then publicly traded Paradigm in August 2002, realised a 7.8x return on the fund’s USD83m investment in the company. Overall to date, Fox Paine Fund II, which was established in 2000 with USD1bn in capital commitments from investors, has achieved a 40 per cent per year compounded annual return (net of all fees and expenses) on all invested capital, including six platform corporate acquisitions, company growth initiatives, and follow-on acquisitions.
