AltaReturn, a software provider for the alternative investments industry, is up for sale just months after eFront fetched a huge price, three sources said.
First round bids for AltaReturn were due last week, one of the sources said. The offers valued the Miami company at around $500 million with some proposals coming in higher, one of the sources said. The process has attracted a mix of private equity and strategics, people said.
A second round for AltaReturn is expected to begin after July 4th, the person said.
In 2008, Reinaldo Acosta and Custodio Toledo founded Vertice Technologies, which does business as AltaReturn. (Acosta and Toledo, both AltaReturn managing partners, previously worked for SunGard’s investran business.)
AltaReturn’s software provides services including portfolio monitoring, back office and fund accounting. Customers include private equity, venture capital, real estate, fund of funds and family offices. AltaReturn employs about 150 people and produces roughly $40 million of revenue, the person said.
AltaReturn is considered a smaller, SaaS version of eFront, the person said. Efront, which also supplies software to PE firms and limited partners, sold for $1.5 billion, Buyouts reported in March. BlackRock was the buyer. Efront attracted bidders including ION, which is backed by Carlyle Group, IHS Markit and Vista Equity Partners, the story said.
“[AltaReturn has] grown really fast and is gaining a lot of market share,” the person said.
Executives for AltaReturn and Deutsche Bank declined comment.
Action Item: For more information on AltaReturn, contact Acosta by calling (305) 925-0491