- Fortive Corporation (NYSE: FTV) announced that it entered into a definitive agreement with Bayard Capital and Accel Partners to buy ServiceChannel. These are the details.
Fortive Corporation (NYSE: FTV) announced that it entered into a definitive agreement with Bayard Capital and Accel Partners to buy ServiceChannel — which is a leading global provider of SaaS-based multi-site facilities maintenance service solutions with an integrated service-provider network. And the acquisition will be subject to customary closing conditions, including regulatory approvals, and will be financed primarily with available cash. Fortive is anticipating that the acquisition will close in the third quarter of 2021.
ServiceChannel launched in 1999 and serves over 500 enterprise customers in over 70 countries across the globe while also maintaining an integrated network of more than 70,000 facilities maintenance service providers. And ServiceChannel’s SaaS offering enables multi-site owner / operators to manage and automate the full lifecycle of workflows related to the maintenance and repair of their properties and related assets, including work order management, asset tracking, and service provider tracking.
Plus ServiceChannel’s differentiated data-driven platform — which combines software with a service-provider network, draws from millions of data points to intelligently match contractors with jobs, enhancing quality, cost transparency, and efficiency.
Fortive is expecting ServiceChannel to generate approximately $125 million of revenue in 2021. And the purchase price for the acquisition is approximately $1.2 billion and is expected to be funded primarily with available cash. Upon the closing, ServiceChannel is expected to be an independent operating company within Fortive’s Intelligent Operating Solutions segment.
“We are very excited to announce the pending acquisition of ServiceChannel. This transaction is another great example of how we continue to use disciplined capital deployment to accelerate our long-term strategy across our segments. ServiceChannel fits extremely well alongside Accruent and Gordian, broadening our offering of software-enabled solutions for the Facility and Asset Lifecycle workflow. The Company’s high-growth SaaS platform, leading contractor network, rich data assets, and existing global footprint will add significantly to the long-term growth and profitability of IOS.”
— James A. Lico, President and Chief Executive Officer of Fortive
“ServiceChannel has successfully established a leading position solving challenges for facilities owners and operators for more than twenty years, and has significant growth runway ahead of it. With a range of highly complementary assets, and significant resources to support future organic and inorganic growth opportunities, Fortive is the perfect partner to support ServiceChannel in the next leg of our journey.”
— Tom Buiocchi, CEO of ServiceChannel