Flexera's Owners Pursue Sale for Up to $3 Billion

(Bloomberg) -- The owners of closely held Flexera Software LLC are planning a sales process that could value the company at as much as $3 billion, according to people with knowledge of the matter.

The company’s backers, Teachers’ Private Capital and the private equity firm TA Associates, are working with an adviser to run an auction process, said the people, who asked not to be identified because they weren’t authorized to speak publicly. Flexera, based in Itasca, Illinois, is expected to attract interest from other private equity firms, the people said.

No final decisions have been made and the owners may choose not to pursue a sale, they said.

A representative for Boston-based TA didn’t immediately respond to requests for comment. Flexera and Teachers’ declined to comment.

Teachers’, the investment arm of Ontario Teachers Pension Plan, bought a majority stake in Flexera in 2011 from the private equity firm Thoma Bravo. Last year, TA Associates acquired a minority stake in Flexera for an undisclosed sum. Flexera bought peer Rightscale in September and refinanced the combined business this year, according to Flexera’s website.

Flexera helps companies with IT services including software security, cloud management and software-as-a-service management, according to its website.

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