European software investor Hg’s Saturn team and its investors have agreed to a further majority investment in software company Visma, valued at USD12.2 billion in the world’s largest ever software buyout.
The Hg Saturn 2 Fund will purchase the stake from Montagu, a European private equity firm which has been an investor in the business since 2010, and other investors including Hg’s Genesis 7 Fund which will reduce its holding in Visma.
Warburg Pincus and TPG will invest in the company for the first time, acquiring minority stakes. Existing investor CPPIB will increase its stake, alongside other current co-investors in the business, including General Atlantic who invested earlier in the year.
Following completion of the transaction, Hg will continue to own a majority (around 54 per cent) stake in Visma, with co-investors GIC, ICG, CPPIB, Warburg Pincus, TPG, General Atlantic and management.
Merete Hverven, CEO of Visma said: “For almost 15 years now, Visma has benefited from a supportive and highly knowledgeable private equity investor base, led by Hg.”
“This guidance and know-how in the software sector has enabled us to consistently and significantly expand both our product offering and geographic footprint,” she added.
Hg Saturn 2 will put forward the majority of the new invested capital to acquire a further stake in Visma from a group of current investors including Montagu, who will fully exit the business.
Hg will put forward the majority of the new invested capital in a transaction valuing the business at an Enterprise Value of NOK110 billion (USD12.2 billion).
Hg led the original delisting of Visma from the Oslo Stock Exchange in 2006 and has been the lead or co-lead investor in Visma for the last 14 years.