Vista Equity is exploring strategic alternatives for IT automation and security company Infoblox, four sources familiar with the situation told PE Hub.
The firm has engaged in conversations with financial advisors, the sources said. Qatalyst Partners is likely to advise the company as it weighs strategic options, including a potential sale, some of the sources noted.
A sale process, which is expected to target strategics, has yet to kick off. However, the firm has already sent out teasers advertising the upcoming sale process, one of the sources said.
Infoblox, based in Santa Clara, California, provides software and appliances that enable users to automate the assignment of IP addresses as well as monitor and manage the traffic and security of their networks.
The company offers paid enterprise network automation and security solutions, including Domain Name System (DNS) services, Dynamic Host Configuration Protocol (DHCP) services and IP address management (IPAM). Infoblox employs nearly 1,400 people, according to its LinkedIn page.
Infoblox generates nearly $150 million of EBITDA and more than $400 million in revenue, the people said.
Sources estimated that a potential deal could value the company at around $2.5 billion.
Vista Equity acquired Infoblox in September 2016 for $1.6 billion in a take-private transaction. The firm funded the deal through Vista Equity Partners Fund VI, which closed in May 2017 on $11.1 billion.
Infoblox completed one add-on during Vista’s four-year hold.
In November 2019, the company acquired SnapRoute, the creator of the industry’s first cloud-native network operating system. The acquisition was aimed to accelerate the development and delivery of additional network services on Infoblox’s platform.
Vista Equity declined to comment. Qatalyst and Infoblox did not return PE Hub’s requests for comment.
In other activity, on March 7, Vista announced its acquisition of TripleSet, a web-based sales and event management technology solution for restaurants, hotels and venues. In connection with the acquisition, Vista will merge TripleSet with existing portfolio company Gather, a sales and event management platform.
Action Item: View PE Hub’s recent coverage of Vista’s diversity programs and initiatives.