EQT announced that EQT X and CPP Investments will acquire NEOGOV from funds managed by Warburg Pincus and Carlyle. Founded in 2000 and based in El Segundo, California, NEOGOV offers human capital management and public safety solutions to nearly 10,000 North American public sector organizations.
Its cloud-native suite covers the entire employee lifecycle, from recruitment to compliance, helping agencies adhere to policies. EQT X is expected to be 60-65% invested upon the deal’s closure.
The deal is subject to standard conditions and is expected to finalize soon.
Advisors/counsel: Moelis & Company served as exclusive financial advisor and Willkie Farr & Gallagher served as legal counsel to NEOGOV. Jefferies LLC served as exclusive financial advisor and Ropes & Gray served as legal counsel to EQT.
KEY QUOTES:
“Local governments are the backbone of our communities. Our mission is to help them operate more efficiently and serve citizens more effectively. EQT and CPP Investments share our vision and bring the experience and capital to help us scale faster. Our priorities include advancing product innovation and AI capabilities to help public sector agencies drive increased efficiency and compliance adherence. EQT and CPP Investments’ deep expertise in software and broad network of advisors will be instrumental to supporting NEOGOV’s growth.”
Shane Evangelist, CEO of NEOGOV
“We are excited to partner with Shane and the NEOGOV team, who are operators at the highest levels. The team brings a deep understanding of the challenges that public sector agencies face, and we’re proud to support a company that has earned such trust in the public sector.”
Arvindh Kumar, Partner and Co-Head of EQT’s Global Technology Team
“It’s rare to find a software company that is so well-loved by its customers, and we look forward to partnering with NEOGOV to continue to modernize public sector operations and deliver impactful technology to those on the front lines of civic service*.”***
Tyler Parker, Managing Director in the EQT Private Equity advisory team
“NEOGOV is a leading software platform with distinct customer offerings that is poised for growth due to increasing demand from its customers across North America. Together with its strong management team, the Company is a good fit for our strategy to invest in high-quality software companies. We look forward to supporting the Company in this next phase of development alongside EQT and the management team.”
Sam Blaichman, Managing Director, Head of Direct Private Equity, CPP Investments
