Private-equity firms Francisco Partners and TPG are planning to make a joint take-private bid to acquire US business software solutions provider New Relic in a deal that could be worth over $5 billion, according to a report by Reuters.
Private-equity firms Francisco Partners and TPG are planning to make a joint take-private bid to acquire US business software solutions provider New Relic in a deal that could be worth over $5 billion, according to a report by Reuters.
The report cites an unnamed person familiar with the matter as revealing the joint approach for the firm, which according to Reuters, first began exploring a potential sale to private equity investors in July last year.
Several activist hedge fund have taken stakes in New Relic, which develops cloud-based software to help websites and application owners track the performance of their services, including Jana Partners, Engaged Capital, and Eminence Capital in recent years. Last year, Jana secured two seats on the company’s board.
San Francisco-based New Relic had a market capitalisation of roughly $5.78 billion, as of Wednesday’s close.
