Thoma Bravo, a leading private equity investment firm, has entered into a definitive agreement to sell PowerPlan, the market-leading provider of mission-critical corporate performance management (CPM) software to many of the largest and most complex companies in asset-intensive industries, to Roper Technologies. The company is being acquired by Roper for $1.1 billion, and the transaction is expected to close in the second quarter.
The planned exit culminates a productive partnership between Thoma Bravo and PowerPlan. Since its acquisition in 2015, Thoma Bravo guided the company in building a next-generation, cloud-based platform, not only strengthening PowerPlan’s core value proposition, but also further enabling its expansion into both adjacent vertical markets and international markets outside the U.S. and Canada. Thoma Bravo’s approach of working with the company’s existing management resulted in an increase in the company’s valuation, a significant expansion in both recurring revenue and profitability, and an acceleration in organic revenue growth. This was made possible via numerous innovations to the company’s product and service offerings that occurred during dramatic market-changing events, including those associated with recent federal tax reform.
“PowerPlan has benefited greatly from the relationship with Thoma Bravo,” said J. Charles Goodman, CEO of PowerPlan. “Thoma Bravo’s excellent experience with transforming technology-focused organizations was critical in enabling PowerPlan to expand its business beyond North America and into new adjacent markets poising the business for long term success.” Goodman added, “Our team feels incredibly fortunate to have found a new partner who shares both our vision and values. Roper’s focus on helping great technology companies grow by creating even more value for their customers is exactly what we wanted and needed. While I am incredibly proud of our team’s past accomplishments, I am even more excited about our future.”
“PowerPlan represents another case study in executing Thoma Bravo’s strategy of acquiring a leading vertical market software company and working with an outstanding management team to implement operational best practices and help the company achieve its full potential,” said Holden Spaht, a Managing Partner at Thoma Bravo.
“Thoma Bravo is pleased with the success we’ve been able to achieve with PowerPlan during our partnership, and believe PowerPlan is well positioned to continue its growth as a premier provider of corporate performance management solutions for asset-intensive businesses under Roper’s leadership,” said Scott Crabill, a Managing Partner at Thoma Bravo.
William Blair & Company, L.L.C. served as exclusive financial advisor to PowerPlan, and Kirkland & Ellis LLP served as legal advisor to PowerPlan and Thoma Bravo.