Cinven Gets Software Firm Jaggaer Stake in $1.5 Billion Deal

(Bloomberg) -- Cinven, one of Europe’s largest private equity firms, has agreed to make its third investment in the U.S. with a stake in privately held software provider Jaggaer.

The buyout firm has agreed to invest in North Carolina-based Jaggaer alongside existing shareholder, growth equity firm, Accel-KKR, Cinven said in a statement on Monday. The deal values the company, which helps businesses track their spending, at about $1.5 billion, including debt, people familiar with the matter said. They asked not to be identified because the terms of the deal weren’t made public.

Michael Korzinstone, senior principal at Cinven, said Jaggaer has a strong presence in North America and EMEA “with opportunities to buy and build that we will look at thoughtfully going forward.”

A spokesman for Cinven declined to comment on valuation.

Jaggaer specializes in providing cloud-based procurement solutions to businesses, including invoice and supplier management, according to its website. The company, then called SciQuest, was taken private by KKR-Accel in May 2016 in a deal which valued it at about $500 million. The buyout firm then backed the company to buy software firm BravoSolution from Italmobiliare SpA in November 2017.

The deal is U.K.-based Cinven’s third in the U.S., following acquisitions of Medpace Holdings Inc. and Bioclinica Inc. Medpace, which went public on the in 2016, generated a 3.5-times return on Cinven’s original investment, the people added.

To contact the reporter on this story: Kiel Porter in Chicago at kporter17@bloomberg.net

To contact the editors responsible for this story: Liana Baker at lbaker75@bloomberg.net, Michael Hytha

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