Private equity firms Warburg Pincus and Permira are in discussions to acquire Clearwater Analytics Holdings Inc, the investment and accounting software provider, according to a report by Bloomberg citing unnamed sources familiar with the matter.
The Boise, Idaho-based company, which went public in 2021 with backing from the two firms, could see a deal finalised within weeks, though talks remain ongoing and may still be delayed or collapse, with the possibility of another bidder emerging.
Clearwater’s shares have responded positively to the news, closing up 1% on Friday to a market value of $5.6bn, and rising roughly 19% in after-hours trading.
Founded in 2004, Clearwater provides software solutions to financial services companies and recently reported strong third-quarter results, including a 77% year-on-year revenue increase to $205m and an 84% jump in adjusted EBITDA to $71m. The firm also completed its $1.5bn acquisition of Enfusion Inc in April.
Warburg and Permira initially invested in Clearwater in 2020 and participated in its $621m IPO in 2021. Warburg retained a 0.3% stake as of 30 June, 2025. Notably, Permira recently outbid Warburg for London-listed JTC Plc in a $3bn acquisition, highlighting the competitive nature of their ongoing partnership and investment strategies.
