Partners Group to make 5x on sale of GlobalLogic

Partners Group is set to make 5x its money on the sale of GlobalLogic to Hitachi, sources familiar with the deal terms told PE Hub.

The sale, announced Wednesday, valued the digital engineering services company at $9.5 billion, according to the news release.

The exit is set to generate a sizable return for Partners Group, which bought a stake in the company in 2018 from Apax Partners, assigning GlobalLogic an enterprise value of $2 billion. Partners then became an equal equity partner alongside existing investor Canada Pension Plan Investment Board.

With the sale of GlobalLogic, Partners Group is poised to receive net proceeds of $3.8 billion, sources familiar with the situation told PE Hub.

GlobalLogic, based San Jose, California, provides design-led digital engineering services that develop next-generation software platforms for enterprises and technology businesses worldwide. The company has more than 20,000 professionals and other personnel operating from 30 engineering centers and eight design studios across four continents.

Partners Group and CPPIB, which hold equity ownership interests of approximately 45 percent each, will both be exiting as part of the transaction.

GlobalLogic has grown through multiple add-on acquisitions under its latest backers.

In 2020, the company acquired ECS Group, an IT consultancy and services company for enterprise clients; and Meelogic Consulting, a German software engineering services firm with expertise in healthcare.

Partners Group declined to comment.