TA Associates to reap 7x on sale of software provider PDI

TA Associates stands to make 7x its investment on PDI after a three-year hold, sources familiar with the transaction told Buyouts.

Insight Partners last month said it was buying PDI from Genstar Capital and TA. The sale is valued at $1.6 billion, the sources said.

TA and Genstar are retaining stakes in the company post-sale, sources said.

PDI is the Atlanta provider of enterprise software to the convenience retail, wholesale petroleum and logistics industries.

TA Associates acquired a stake in the company in March 2016 from Luminate Capital Partners. In August 2017, TA sold a minority stake to Genstar.

TA, which invests in financial and business services, consumer, healthcare and technology companies, is back in the market with its latest fund, PEI reported in March. TA’s 13th fund is seeking $7.5 billion, 40 percent larger than its 12th pool, which closed on $5.3 billion in 2016.

Spokespeople for TA Associates and Genstar declined comment. A spokesperson for Insight Partners did not return a request for comment.

Action Item: Contact Genstar’s IR team in San Francisco via Jennifer Zhao at +1 415-834-2350.