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Key Points
- Vista, led by Robert F. Smith, acquires Jaggaer, a key procurement software provider, enhancing its position in critical software sectors.
- Cinven sold Jaggaer for around $3 billion, with Goldman Sachs and Moelis advising on the transaction.
- Vista, managing $101 billion, has made over 610 transactions totaling $297 billion, including recent investments in Duck Creek and Tyler Technologies.
Vista Equity Partners, a global technology investment firm led by Robert F. Smith, America’s wealthiest Black billionaire, has finalized the acquisition of Jaggaer, a leading provider of procurement and supplier collaboration software. This strategic acquisition underscores Vista’s intent to bolster its position in critical software sectors.
The acquisition follows Cinven’s May announcement of plans to sell Jaggaer, a move that valued the company at approximately $3 billion, including debt. To navigate the sale, Cinven enlisted investment banks Goldman Sachs and Moelis as advisors.
Jaggaer poised for growth under Vista
Jaggaer’s CEO, Andy Hovancik, welcomed the new partnership, highlighting the synergy between Vista’s investment and Jaggaer’s momentum. “Vista’s investment reflects our strong momentum and the value our platform delivers,” Hovancik stated. “We help customers automate complex processes while building a resilient, responsible supplier base.”
Vista’s Co-Head of Flagship Fund, Michael Fosnaugh, commended Jaggaer’s role in optimizing procurement and supply chain processes. He noted the company’s ability to streamline global procurement, reduce costs, and enhance visibility. Sam Payton, Vista’s Senior VP, praised Jaggaer’s advanced spend management capabilities and expressed enthusiasm for the company’s future in AI-driven solutions.
Jaggaer offers a unified platform for configurable source-to-pay and supplier collaboration software, addressing both direct and indirect procurement processes. The company’s AI-powered solutions enhance sourcing, spend management, contracting, eProcurement, invoicing, and supply chain visibility for over 1,400 global customers.
Vista Equity’s expansive investment strategy
With $101 billion in assets under management, Vista Equity Partners has invested in 85 companies and completed over 610 transactions totaling $297 billion. Robert F. Smith, with a net worth of $11.4 billion, continues to lead Vista’s successful investment strategy.
Since 2021, Vista has achieved $14.3 billion in realized gains and holds $3.7 billion in unrealized value, reflecting robust growth prospects. Recently, Vista raised $20 billion for its latest flagship fund, acquired Duck Creek Technologies for $2.6 billion, and increased its investment in Tyler Technologies by $16.6 million.
