Vista Equity Partners has agreed to buy MicroEdge, a New York-based provider of sofware and services to the charitable giving industry, from Advent Software Inc. (Nasdaq: ADVS). The deal is valued at approximately $30 million in cash.
Advent Software, Inc. (NASDAQ: ADVS), a leading provider of software and services for the global investment management industry, today announced that it has entered into a definitive agreement for the sale of its New York-based subsidiary MicroEdge, Inc. to Vista Equity Partners. Established in 1985, MicroEdge is a leading provider of software and services to the giving community.
Under the terms of the purchase agreement, an affiliate of Vista Equity Partners will purchase all of the outstanding capital stock of MicroEdge, Inc. and subsidiaries for approximately $30 million of cash, subject to adjustment for a working capital adjustment and certain other specified items. The transaction is subject to customary closing conditions, and is expected to close early in the fourth quarter of 2009. For more information about this agreement, please see Advent’s Form 8-K filed with Securities and Exchange Commission today.
“MicroEdge is the leader in its field with an incredibly talented team that delivered strong results for Advent over the last few years,” said Stephanie DiMarco, Founder and Chief Executive Officer of Advent. “We continue to believe in the long-term potential of MicroEdge’s products, but its sale will allow Advent to intensify our focus and redeploy resources within our core business. We are confident that MicroEdge’s employees and customers will remain in good hands as Vista is a well respected software investor.”
Robert Smith, Managing Principal of Vista Equity Partners, commented, “We are long-term investors in software companies that are committed to market leadership and are very excited about working with MicroEdge. What impressed us most about MicroEdge is the breadth and depth of their solutions, the employees’ focus on their customers and the Company’s impressive client base. We look forward to working with the management team in continuing to serve the needs of their current customers as well as investing in their current platform to offer additional solutions to both existing and new customers.”
Details of the expected financial impact of this transaction will be discussed on Advent’s second quarter 2009 earnings conference call scheduled for July 28, 2009 at 5:00 pm ET.
JMP Securities LLC acted as the exclusive financial advisor to Advent Software, Inc. in this transaction.
About Vista Equity Partners
Vista Equity Partners, a private equity firm with offices in San Francisco and Chicago, has over $2.3 billion in equity capital under management. Vista was founded in 2000 and is focused on equity transactions involving enterprise software businesses and technology-enabled solutions companies. Over the last nine years, Vista Equity Partners has successfully demonstrated its ability to create value through a disciplined investment focus on companies that offer mission-critical software and technology-enabled solutions. For more information on Vista visit www.vistaequitypartners.com.
Established in 1985, MicroEdge, Inc. (www.microedge.com), a subsidiary of Advent Software, Inc. is the leading provider of software and services to the giving community worldwide. MicroEdge solutions deliver a powerful, integrated, and open framework for efficient and effective charitable giving. The company is committed to providing the best technology toolset for foundations, corporations, government agencies, donors, advisors and financial institutions. Together, these tools help organizations to work with one another to raise, invest, manage and award charitable currency. MicroEdge, Inc. is headquartered in New York City with regional offices throughout the U.S. and Europe, and supports thousands of clients worldwide.
Advent Software, Inc., a global firm, has provided trusted solutions to the world’s financial professionals since 1983. Firms in 60 countries rely on Advent technology to run their mission-critical operations. Advent’s quality software, data, services and tools enable financial professionals to improve service and communication to their clients, allowing them to grow their business while controlling costs. Advent is the only financial services software company to be awarded the Service Capability and Performance certification for being a world-class support and services organization. For more information on Advent products visit http://www.advent.com/about/resources/demos/pr.