Tech-focused private equity firm Spectrum Equity is acquiring control of ExactBid, a private company that makes software for the commercial real estate sector, according to sources close to the matter.
More than 30 percent of U.S. real estate appraisals are done through software owned by ExactBid called RIMS, which counts hundreds of banks as paying customers, according to its website.
The size of Spectrum Equity’s investment could not be learned. The firm generally invests in the range of $25 million to $100 million.
The sources did not want to be named because the matter is not yet public. The deal is expected to be announced on Thursday, one of the sources said.
Spectrum Equity has invested in real estate technology before with Mortgagebot, a web-based mortgage technology company that was sold to Canada’s Davis + Henderson in 2011 for $231.8 million.
The firm raised $1 billion for its seventh fund in July, raising $5.7 billion to date, and focuses on investments in information, digital media, software and Internet companies. In November, it invested in Prezi, a cloud-based competitor to Microsoft’s PowerPoint, while it also has investments in Ancestry.com, online survey maker SurveyMonkey and GrubHub Inc , the online food ordering website that went public in April.
(Reporting by Liana B. Baker in New York; Editing by Cynthia Osterman)