Centerbridge Partners has agreed to buy IPC Systems for about $1.2 billion. Silver Lake Partners is the seller. The deal is expected to close in January 2015. Jersey City, N.J.-based IPC provides network services and trading communication technology for the financial markets. Evercore and The Goldman, Sachs & Co. advised IPC. Barclays and Credit Suisse Securities provided financial advice to Centerbridge.
JERSEY CITY, N.J., Dec. 1, 2014 /PRNewswire/ — IPC Systems, Inc. (“IPC” or the “Company”), a global provider of mission-critical network services and trading communication technology to the financial markets community, announced that it has entered into an agreement to be acquired by Centerbridge Partners, L.P. (“Centerbridge”), a leading private investment firm, from Silver Lake Partners (“Silver Lake”) for approximately $1.2 billion in total deal value.
From its unified communications and software platform to its leading voice and data extranet and award-winning trading positions, IPC offers services and solutions focused on improving the speed, productivity, collaboration, and efficiency of the entire trade lifecycle. The partnership with Centerbridge further enables the Company to deliver these valued services to its customers and to capitalize on its growth opportunities. IPC continues to accelerate its market leading position, fuelled by the increased adoption of its integrated trading communications and application platform, Unigy, its expanding data and voice business and new enhanced services offerings.
“This transaction follows what has been one of IPC’s best years and will help accelerate our continued momentum,” said Neil Barua, Chief Executive Officer of IPC. “Centerbridge has a proven track record of driving long-term sustainable growth, and we look forward to building on our successes with our new owners. I want to thank all of our dedicated employees for their continued efforts in driving value creation. We are a trusted advisor to our customers and will continue to provide the industry-leading service and expertise they’ve come to expect from us.”
Jared Hendricks, Senior Managing Director of Centerbridge said, “Having followed the Company for a number of years, we are excited to back IPC and its management team through its next phase of growth and development. IPC is uniquely positioned to deliver tailored, state-of-the-art solutions to serve the complex needs of the financial services community. We look forward to continuing to support IPC’s momentum.”
Greg Mondre, Managing Partner at Silver Lake said, “The IPC team, led by former Silver Lake Operating Partner Neil Barua, has been instrumental to the Company’s recent impressive growth and has been an invaluable partner in achieving its leading market position. We look forward to IPC’s continued success and believe Centerbridge will be highly supportive owners.”
The transaction is expected to be completed in January 2015 following the satisfaction of customary closing conditions and approvals.
The company was advised in the transaction by Evercore and The Goldman, Sachs & Co. Centerbridge was advised by Barclays and Credit Suisse Securities (USA) LLC, who are also providing debt financing for the transaction.
IPC is a global provider of mission-critical network services and trading communication technology to the financial markets community. With complete focus on this sector and over 40 years of expertise, IPC provides customers with integrated solutions that support traders and participants across the entire trade lifecycle including sell-side and buy-side financial institutions, inter-dealer brokers, liquidity venues, clearing and settlement firms, independent software vendors, corporate finance departments, financial information exchange providers and market data providers. IPC’s offerings include a unified communications/application platform, award-winning trading positions, managed voice and data connectivity solutions, compliance technologies, infrastructure management and a suite of enhanced service offerings. IPC’s global reach extends to more than 60 countries – including a network of 5,000 customer sites over 700 cities and an installed base of approximately 120,000 trading positions deployed worldwide. Headquartered inJersey City, New Jersey, IPC has over 900 employees located throughout the Americas and the EMEA and Asia-Pacific regions. IPC’s mission is to continually innovate to support collaboration across the global financial community and address our clients’ needs in an ever-changing landscape. For more information, visit www.ipc.com.
About Centerbridge Partners
Centerbridge Partners, L.P., headquartered in New York, NY is a private investment firm with approximately $25 billion in capital under management. The firm focuses on private equity and credit investments and is dedicated to partnering with world-class management teams across targeted industry sectors to help companies achieve their operating and financial objectives.
About Silver Lake Partners
Silver Lake is the global leader in technology investing, with over $23 billion in combined assets under management and committed capital. The firm’s portfolio of investments collectively generates more than $85 billion of revenue annually and employs more than 200,000 people globally. Silver Lake has a team of approximately 110 investment and value creation professionals located in New York,Menlo Park, San Mateo, London, Hong Kong, Shanghai and Tokyo.
Certain statements contained in this press release may be forward-looking statements. These statements may be identified by the use of forward-looking terminology such as “anticipate,” “believe,” “continue,” “could,” “estimate,” “expect,” “intend,” “may,” “might,” “plan,” “potential,” “predict,” “should” or “will” or similar terminology. Any forward-looking statements are based on current expectations, assumptions, estimates and projections. Such forward looking statements involve known and unknown risks and uncertainties, many of which are beyond our control. Actual results may differ materially from any future results expressed or implied by these forward-looking statements.