Apax Partners has agreed to acquire Chicago-based ThoughtWorks Inc, a software development and digital transformation consulting company. No financial terms were disclosed. The deal is expected to close in the fourth quarter of this year. Credit Suisse provided financial advice to Apax Partners while Goldman Sachs did likewise for ThoughtWorks.
CHICAGO, Aug. 23, 2017 /PRNewswire/ — Funds advised by Apax Partners (“Apax Funds”) have today announced a definitive agreement to acquire ThoughtWorks, Inc. (“ThoughtWorks”), a global software development and digital transformation consulting company. The transaction is subject to customary closing conditions and is expected to close in Q4 2017. Terms of the transaction were not disclosed.
Incorporated in 1993, ThoughtWorks has grown from a small group in Chicago to over 4,500 employees spread across 42 offices in 15 countries. The company, a pioneer in agile software development, has been at the forefront of software design and delivery since its inception. ThoughtWorks is dedicated to improving the way software is developed and has guided IT leaders and teams through enterprise-wide digital transformation, driving operational efficiencies and competitive advantage.
“Over a span of more than two decades ThoughtWorks has consistently developed and delivered cutting edge technology for our clients,” said Guo Xiao, CEO and President, ThoughtWorks. “Today we take our first step towards our next growth phase with Apax Partners. With our combined resources, we are uniquely positioned to help our clients tackle their most difficult challenges, enabling them to change their competitive position through technology.”
“Over the years, ThoughtWorks has gone through many iterations but what has been consistent is our commitment to software excellence. We credit this to having a combination of the most talented, passionate development teams, collaborative practices, and a culture of experimentation and innovation which blend to create a technology capability that is second to none,” said Dr. Rebecca Parsons, Chief Technology Officer, ThoughtWorks. “Together with Apax Partners, we remain committed to having technology at the core of everything we do while building a diverse, inclusive work environment.”
Salim Nathoo, a partner at Apax Partners, said: “Software and technological excellence are driving competitive advantage in the corporate marketplace more than ever before, putting agile and advanced development approaches in high demand. ThoughtWorks’ exceptionally talented employees, global footprint and reputation for technical excellence make it uniquely capable to tackle the most complex digital transformation problems. We see significant opportunities for the company to develop further and look forward to working alongside the existing management team as the company enters its next phase of growth.”
Rohan Haldea, a partner at Apax Partners, added: “We are impressed by the professionalism and expertise of the ThoughtWorks management team and fully support their vision which puts ThoughtWorks at the forefront of digital technology. We recognize ThoughtWorks’ success lies in its people and a culture that promotes diversity and inclusion. Furthermore, ThoughtWorks’ focus on innovation and customer impact have made it a thought leader in its industry. In partnership with ThoughtWorkers, we look to build upon the incredible foundation of the Company and keep the unique cultural fabric which underpins the firm.”
Apax Partners was advised by Credit Suisse (financial advisor), Kirkland & Ellis LLP (legal advisor) and E&Y (accounting advisor).
ThoughtWorks was advised by Goldman Sachs (exclusive financial advisor), Nixon Peabody (legal counsel) and KPMG (accounting advisor).
About Apax Partners LLP
Apax Partners is a leading global private equity advisory firm headquartered in London and New York. Over its more than 30-year history, Apax Partners has raised and advised funds with aggregate commitments in excess of $48 billion*. Funds advised by Apax Partners invest in companies across four global sectors of Tech and Telco, Services, Healthcare, and Consumer. These funds provide long-term equity financing to build and strengthen world-class companies.
The Apax Funds have been a leading private equity investor in the tech, telecom and services sectors, having invested over $11.3 billion since 2008. Apax’s deep sector expertise and global resources have helped accelerate organic and inorganic growth within the Apax Funds’ portfolio and enabled geographic expansion. Notable current and past IT Services investments include IGATE, GlobalLogic, EVRY, Zensar and Engineering Ingegneria Informatica. For further information about Apax Partners, please visit www.apax.com.
*Funds raised since 1981, commitments converted from fund currency to USD at FX rates as at 30 June 2017.
About ThoughtWorks, Inc.
We are a software company and a community of passionate, purpose-led individuals. We think disruptively to deliver technology to address our clients’ toughest challenges, all while seeking to revolutionize the IT industry and create positive social change.