Vista Equity Partners has announced that it is acquiring Bellevue, Washington-based Apptio for $38 per share, which is a deal that is valued at approximately $1.94 billion and represents a 53% premium to the unaffected closing price as of November 9, 2018. This deal also includes a 30-day go-shop where Apptio is able to initiate, encourage, and enter negotiations with parties to make an alternative offer.
Apptio is a business management software company of record for hybrid IT. And Apptio is transforming the way IT runs its business and makes decisions. With its cloud-based applications, IT leaders manage and optimize their technology investments across on-premise and cloud.
“Since founding, our focus has been on building the next great cloud software platform by dedicating ourselves to helping companies of all sizes and industries manage, plan, and optimize technology investments across their hybrid IT environments,” said Apptio co-founder and CEO Sunny Gupta in a statement. “As we look to the next chapter of Apptio, we are thrilled to provide immediate liquidity to our shareholders at a significant premium to market prices and we remain deeply committed to our mission, product innovation, geographical expansion, and the work of the TBM Council. Vista’s investment and deep expertise in growing world-class SaaS businesses and the flexibility we will have as a private company will help us accelerate our growth while helping us maintain our commitment to creating wildly successful customers.”
Through Apptio, IT leaders become strategic partners to the business by demonstrating the value of IT investments, accelerate innovation, and shift technology investments from running the business to digital innovation. There are hundreds of customers that choose Apptio as their business system of record for hybrid IT.
“Today, with companies across sectors increasingly depending on technology to stay competitive, IT is becoming a critical component for every business on the planet, and Apptio has created the leading platform to help customers manage this new paradigm,” added Vista Equity co-founder and president Brian Sheth. “We’re thrilled to partner with Sunny and the entire Apptio team on the next chapter in the company’s growth.”
Apptio’s board of directors unanimously approved of the deal and the company is recommending stockholders to vote their shares in favor of the transaction. Apptio’s headquarters will remain in Bellevue and the company has regional offices across the US, EMEA, and APAC.
Qatalyst Partners acted as the financial adviser to Apptio and Wilson Sonsini Goodrich & Rosati was the legal adviser to Apptio. Vista’s legal adviser was Kirkland & Ellis LLP.