Court Square Capital Partners is getting more money back from Rocket Software.
The software development firm is launching a $725 million loan that will be used to refinance debt and pay a dividend to Court Square and company management, according to Thomson Reuters Loan Pricing Corp.
It’s unclear how big the dividend is.UPDATE: Rocket Software is issuing a $279 million equity distribution to its co-founders and Court Square, Moody’s Investors Service said in an April 23 note. It’s the second payout for Court Square.
Rocket Software, of Waltham, Massachusetts, was founded in 1990 and initially provided software to IBM mainframe customers, according to Boston.com. In 2009, Court Square bought $92 million in Rocket Software stock. Rocket’s management is also an investor.
In 2012, Rocket paid a $260 million dividend to shareholders, according to Moody’s.
Court Square Capital was formed in 2006 by former members of Citigroup Venture Capital Equity Partners, including Bill Comfort. In 2013, the PE firm collected $3 billion for its third fund. The firm’s second pool, Court Square Capital Partners II LP, raised roughly the same amount, $3.1 billion, in 2007. Fund II generated a 9.8 percent IRR as of Sept. 30, according to performance data from the Oregon Public Employees Retirement Fund.
Executives at Court Square and Rocket Software could not be reached for comment.
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