Two private equity executives told peHUB that PitchBook Data is on the block, but the CEO of the research company said it is not for sale.
The two PE executives, who asked not to be named, said that PitchBook is being shopped around, but neither had any details, such as the asking price or whether it has hired a banker.
But John Gabbert, CEO of Seattle-based Pitchbook, said: “We’re not for sale. … We’re not actively looking to sell this business.”
Founded in 2007, PitchBook provides research and analysis to investment banks, private equity shops and venture capital firms. The company has raised $4.25 million in funding, Gabbert said. He noted that the company’s most recent round came in 2009, when Morningstar acquired a minority stake for an undisclosed price. Besides Morningstar, PitchBook has raised capital from 18 angel investors, Gabbert said. Those angels include Brad Garlinghouse, a former AOL executive; Rich Reilly, CEO of music app Shazam; and Alex Millar, founder of Bluefish Ventures and a former DLJ investment banker.
[contextly_sidebar id=”PcleCZGPjxnDJSFaHVNuuLR3VCmKmk64″]PitchBook’s data, which includes purchase price multiples of middle-market deals as well as venture valuations and trends, caters to institutional clients. Subscriptions cost an average of $20,000 annually, Gabbert said. He declined to disclose company revenue but said PitchBook now employs 275 employees.
“We’re growing 65 percent this year and will be approaching 1,000 institutional clients within the next few months,” Gabbert said.
Gabbert, 40, said his stake in PitchBook is “significant.” While he denied the sale rumors, Gabbert said if someone came to the company with a “ridiculous price, then we’re open.”
Executives for Morningstar declined comment.
Photo courtesy of PitchBook