Singapore's GIC, three others invest US$720 million in software firm ThoughtWorks
SINGAPORE sovereign investor GIC and Abu Dhabi's Mubadala are two new investors in global software consultancy ThoughtWorks, the target company said on Friday.
GIC, Mubadala Investment Company, German tech firm Siemens and Fidelity Management and Research LLC have together put US$720 million into ThoughtWorks, a software development and digital transformation consulting firm set up in 1993.
The capital injection, which ThoughtWorks said comes amid continued investment in growth and international expansion, will be used to buy out other shareholders.
Private equity firm Apax Partners LLP's Apax IX Fund had announced plans in December 2020 to sell a minority stake to an unspecified group of investors by end-Q1 2021, according to a bourse filing from London-listed Apax Global Alpha Ltd at the time.
The new deal pegs Chicago-based ThoughtWorks' enterprise value at US$4.6 billion, although a spokesperson did not offer a breakdown between debt and equity when asked. ThoughtWorks also did not give the size of the new investors' interest.
Still, Apax partner Rohan Haldea said that the firm welcomes ThoughtWorks' latest backers "as additional investors to support the company's growth strategy".
GET BT IN YOUR INBOX DAILY
Start and end each day with the latest news stories and analyses delivered straight to your inbox.
Tim Breen, executive director of technology at Mubadala, said that "ThoughtWorks' long-term growth prospects were key to our investment decision", while GIC did not offer any comments to the press on the transaction.
Funds advised by Apax Partners LLP, whose investments include companies such as fitness subscription startup ClassPass, first bought ThoughtWorks in 2017 for an undisclosed amount.
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
Companies & Markets
Pfizer lifts 2024 profit view on cost cuts, higher Covid vaccine demand
Shell exits China power market businesses
DuPont beats profit estimates, raises full-year forecasts
Binance founder Zhao Changpeng gets four months in prison
Apple set for big sales decline as investors await AI in iPhones
Microsoft, Brookfield to partner on renewable energy projects