Hellman & Friedman and JMI Equity have completed their acquisition of Datatel Inc., a Fairfax, Va.-based provider of enterprise information management solutions for higher education institutions. No financial terms were disclosed, although peHUB previously reported a sale price of approximately $570 million. Sellers include Thoma Bravo, Trident Capital, HarbourVest Partners and JP Morgan Asset Management — which sponsored a management buyout of Datatel in early 2005.
Datatel, Inc., the industry’s most experienced provider of higher education software, services, and insight, announced today that affiliates of Hellman & Friedman LLC have completed their purchase of Datatel. The planned acquisition from Thoma Bravo and its co-investors, including Trident Capital, HarbourVest Partners and JP Morgan Asset Management, first was announced on November 9, 2009.
“This marks another milestone in the growth of our company,” said John Speer, Datatel President and CEO. “The business community once again has confirmed Datatel as a high-quality asset that has grown stronger over its 40-year history. Hellman & Friedman recognizes our ability to continue to provide innovative solutions for our higher education clients, making them more competitive and improving service to their diverse constituents.”
“Hellman & Friedman has been observing the consistent growth of Datatel for a number of years, and we have been extremely impressed with its stability, technology, and excellent reputation for client service,” said Anupam Mishra, Director of Hellman & Friedman. “We look forward to working closely with management to continue to grow this world-class software franchise.”
About Datatel, Inc.
Datatel is the most experienced provider of technology products, services, and insight to higher education. Colleges, universities, and technical schools across North America partner with Datatel to build Strategic Academic Enterprises dedicated to achieving student success. The company has focused exclusively on higher education since 1979, and its technology is used by nearly 800 institutions serving more than five million students. For more information, visit www.datatel.com.
About Hellman & Friedman
Hellman & Friedman is a leading private equity investment firm with offices in San Francisco, New York and London. Since its founding in 1984, Hellman & Friedman has raised over $25 billion of committed capital. The Firm focuses on investing in superior business franchises and serving as a value-added partner to management in select industries including business services, software and information services, internet/digital media, asset management, insurance, other specialty financial services, media, healthcare, energy and industrials. Representative investments in the software sector include Activant Solutions, Inc., Blackbaud, Inc., Intergraph Corporation, Iris Software Group Limited, Kronos Incorporated, SSP Holdings plc, and Vertafore Corporation. For more information on Hellman & Friedman, visit http:/www.hf.com/.
About Thoma Bravo, LLC
Thoma Bravo is a leading private equity investment firm that has been providing equity and strategic support to experienced management teams building growing companies for more than 28 years. The firm originated the concept of industry consolidation investing, which seeks to create value through the strategic use of acquisitions to accelerate business growth. Thoma Bravo applies its investment strategy across multiple industries with a particular focus on the software and services sectors. In the software industry, Thoma Bravo has completed 40 acquisitions across 13 platform companies with total annual earnings in excess of $600 million. For more information on Thoma Bravo, visit http://www.thomabravo.com/.
About Trident Capital
Trident Capital is a leading venture capital and private equity firm with more than $1.5 billion of capital under management across six funds, including over $400 million raised in its most recent fund, Trident Capital Fund VI. The firm focuses on investments in the Enterprise Services and Software, Internet and CleanTech sectors. Within its sector focus, Trident invests across multiple stages, including venture capital, growth equity and leveraged buyouts. Current and past software investments include Xata, Inc., a provider of on-demand mobile information solutions to the commercial trucking industry; Qualys, Inc., a provider of on-demand security solutions for computer network vulnerability assessment; PivotLink Software, a provider of on-demand business intelligence solutions for small and medium business; Host Analytics, a provider of on-demand corporate performance management solutions; Invention Machine Corporation, a provider of innovation management software and content; Epicor Software, a provider of ERP software and services; and numerous other software companies including IT security software companies such as Voltage Security, Thor Technologies (acquired by Oracle) and Sygate Technologies (acquired by Symantec). Trident Capital has made over 150 investments since its inception in 1993. The firm has investment offices in Palo Alto, CA and Westport, CT. For more information please visit http://www.tridentcap.com.