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Bain Capital to acquire majority stake in Rocket Software

Mar 12, 20254 months ago

Acquiring Company

Bain Capital Private Equity

Acquired Company

Rocket Software

BostonWalthamFinancial ServicesEnterprise SoftwareSaasInformation TechnologySoftware

Description

Bain Capital Private Equity has signed a definitive agreement to acquire a majority stake in Rocket Software for approximately $2 billion. Rocket Software will continue to operate under its existing management led by CEO Andy Youniss. The transaction is expected to close in the fourth quarter of 2018, subject to regulatory approvals.

Company Information

Company

Bain Capital Private Equity

Location

Boston, Massachusetts, United States

About

Bain Capital Private Equity has partnered closely with management teams to provide the strategic resources that build great companies and help them thrive since its founding in 1984. Bain Capital Private Equity's global team of more than 250 investment professionals creates value for its portfolio companies through its global platform and depth of expertise in key vertical industries including healthcare, consumer/retail, financial and business services, industrials, and technology, media and telecommunications. Bain Capital has 22 offices on four continents. Since its inception, the firm has made primary or add-on investments in more than 1,000 companies. In addition to private equity, Bain Capital invests across asset classes including credit, public equity, venture capital, and real estate, managing approximately $160 billion in total and leveraging the firm's shared platform to capture opportunities in strategic areas of focus. For more information, visit http://www.baincapital.com.

M&A Insights

Based on deal data
Integration timeline
70% of M&A integrations take 12-24 months to complete
Tech stack consolidation
83% of merged companies consolidate technology vendors within first year
Post-acquisition investment
Companies increase IT spending by 23% on average after acquisitions
Success factor
M&A deals with strong technology integration plans are 2.5x more likely to succeed

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