Key Takeaways
- • Thoma Bravo completed the sale of Deltek to Roper Technologies for $2.8 billion in cash on December 28, 2016, realizing a near tripling of value from the firm's 2012 acquisition price of $1.1 billion.
- • During the four-year partnership, Deltek grew recurring revenue by 60 percent, completed six add-on acquisitions, expanded EBITDA margins significantly, and increased annual organic revenue growth substantially.
- • Deltek, a leading enterprise software provider for project-based businesses, solidified its market leadership position under Thoma Bravo's ownership through strategic investments in solutions and market expansion.
- • The transaction represents a successful exit for Thoma Bravo and marks Roper Technologies' entry into the enterprise project management software sector through a substantial platform acquisition.
Summary
Thoma Bravo announced the completion of its sale of portfolio company Deltek to publicly traded Roper Technologies for $2.8 billion in cash, concluding a four-year investment that generated substantial value creation. The transaction closed on December 28, 2016, following Thoma Bravo's take-private acquisition of Deltek in 2012 for $1.1 billion, effectively tripling the company's valuation over the investment period.
The partnership between Thoma Bravo and Deltek produced measurable operational improvements and market expansion. During the ownership period, Deltek grew recurring revenue by 60 percent, completed six add-on acquisitions to expand its product portfolio, significantly increased EBITDA margins, and achieved dramatic improvements in annual organic revenue growth. Working with existing management, Thoma Bravo positioned Deltek as the leading global provider of enterprise software and solutions for project-based businesses, enabling the company to invest aggressively in product development and expand into adjacent markets.
Holden Spaht, managing partner at Thoma Bravo, characterized the partnership as highly successful, stating: "Over the past four years, the company has experienced tremendous growth and has further solidified its position as the market leader in software and solutions for project-based businesses." Spaht noted that Roper Technologies represented the optimal partner to sustain Deltek's momentum and support its continued innovation. Mike Corkery, CEO and President of Deltek, echoed this sentiment, highlighting that "this partnership has positioned us for future success" and expressing confidence in Deltek's growth trajectory under Roper's ownership.
The exit represents a successful outcome for Thoma Bravo's software and technology-enabled services investment strategy. The transaction marks Roper Technologies' acquisition of a market-leading enterprise software platform with demonstrated organic growth capabilities and an established add-on acquisition track record, positioning Deltek to support Roper's diversified business portfolio.
The partnership between Thoma Bravo and Deltek produced measurable operational improvements and market expansion. During the ownership period, Deltek grew recurring revenue by 60 percent, completed six add-on acquisitions to expand its product portfolio, significantly increased EBITDA margins, and achieved dramatic improvements in annual organic revenue growth. Working with existing management, Thoma Bravo positioned Deltek as the leading global provider of enterprise software and solutions for project-based businesses, enabling the company to invest aggressively in product development and expand into adjacent markets.
Holden Spaht, managing partner at Thoma Bravo, characterized the partnership as highly successful, stating: "Over the past four years, the company has experienced tremendous growth and has further solidified its position as the market leader in software and solutions for project-based businesses." Spaht noted that Roper Technologies represented the optimal partner to sustain Deltek's momentum and support its continued innovation. Mike Corkery, CEO and President of Deltek, echoed this sentiment, highlighting that "this partnership has positioned us for future success" and expressing confidence in Deltek's growth trajectory under Roper's ownership.
The exit represents a successful outcome for Thoma Bravo's software and technology-enabled services investment strategy. The transaction marks Roper Technologies' acquisition of a market-leading enterprise software platform with demonstrated organic growth capabilities and an established add-on acquisition track record, positioning Deltek to support Roper's diversified business portfolio.
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