Shares in Australian financial software provider Iress surged on Friday following confirmation that the company is in early-stage talks with Blackstone and Thoma Bravo regarding a potential acquisition, according to a report by Reuters.
The announcement follows prior takeover interest from Blackstone, which had tabled an indicative proposal valuing Iress at AUD1.94bn ($1.27bn) before withdrawing the offer. Iress has now confirmed renewed engagement with both the New York-based alternative asset manager and US software-focused buyout firm Thoma Bravo.
Iress shares climbed as much as 15.6% to AUD9.69, marking their sharpest intraday gain since November 2023. However, the price remains below the AUD10.50 per share previously proposed by Blackstone.
In a statement to the ASX, Iress said it is “in the early stages of engagement” with both firms to assess whether a proposal could emerge that the Board would be willing to recommend. The company has not disclosed financial terms of the renewed approach.
The news comes amid a broader resurgence of private equity interest in Australian-listed software firms. Earlier this week, TPG’s Asia-focused fund announced an AUD651m acquisition of automotive software provider Infomedia.
Neither Blackstone nor Thoma Bravo provided comment on the ongoing talks.
Iress, which provides wealth and trading software solutions across APAC, the UK, and South Africa, has previously attracted buyout interest. In 2021, Swedish investment group EQT submitted a series of bids – ultimately walking away after valuing the firm at over AUD3bn.
The company reported a net profit after tax of AUD30.1m on AUD604.6m in revenue for FY2024 and is set to release its half-year earnings next week.
