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Calypso’s clients range from central banks to insurers.
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Thoma Bravo, the technology-focused private equity firm, has agreed to buy Calypso Technology for $ 3.75 billion, according to two people familiar with the situation.
Thoma Bravo said Monday it was acquiring Calypso from the current owners, European retail store Bridgepoint and private equity firm Summit Partners. He did not disclose the financial terms.
The deal means Calypso is selling for nearly twice what it was looking for. Fintech San Francisco generated up to $ 100 million in earnings before interest, taxes, depreciation, and depreciation, or Ebitda, in fiscal 2020, and was expected to sell for 20 hours, Barron’s reported. Instead, Thoma Bravo pays 37 times the $ 100 million Calypso in Ebitda.
Sales are expected to close in the second quarter.
Founded in 1997, Calypso provides software that supports trading, risk management, alignment, processing, accounting, and compliance for more than 180 financial institutions. Clients range from central banks to insurers. Calypso has over 35,000 users and employs over 800 people.
“We are thrilled to embark on the next chapter of our story with Thoma Bravo and are grateful to Bridgepoint and Summit Partners for their support and partnership,” Didyp Bouillard, Calypso CEO, said in a statement. The agreement highlights the value that Calypso creates and reflects the hard work of the staff and strong results, he said.
“For more than a decade, we have honored Calypso’s position as a leader in the global capital markets software space with a diverse and state-of-the-art face-to-face technology platform across a wide range of these classes. assets, ”Holden Spaht, managing partner of Thoma Bravo, said in the statement.
The show paves the way for Bridgepoint and Summit Partners, a Boston-based private equity firm that acquired Calypso in 2016. The Calypso companies put up for sale in February, Barron’s said.
The Calypso construction will come a day later
Benefit of Thoma Bravo
(ticker: TBA), the blank check affiliate of the PE firm, said it would buy ironSource in a $ 11.1 billion deal for the Israeli company.
Tel Aviv-based advertising technology company IronSource is expected to receive $ 2.3 billion in cash from the sale, a statement said. This includes a $ 1.3 billion private investment in public equity, or PIPE, which comes with a $ 300 million investment from Thoma Bravo. Other PIPE investors include Tiger Global Management, Morgan Stanley (MS), Nuveen, Hedosophia, Wellington Management, The Baupost Group, and Fidelity Investments Canada.
Thoma Bravo Advantage, which went public in January, provides $ 1 billion in cash currently held in a trust account.
Anil Rachwani of Evercore and Alex Yavorsky of Jefferies provided financial advice to Calypso, Bridgepoint, and Summit Partners. Latham & Watkins was their legal adviser. Kirkland & Ellis was the lawyer for Thoma Bravo.
Write to Luisa Beltran at [email protected]