Apax acquires Blackstone’s stake in IBS Software for $450M
Blackstone had acquired a minority stake in IBS Software from General Atlantic in 2015 for $170 million.
Global private equity firm Apax Partners will acquire the stake of Blackstone in IBS Software, which is focused on the travel and logistics industries, for around $450 million.
Blackstone, which is also a private equity firm, acquired a significant minority stake in the Thiruvananthapuram-headquartered software solution company in 2015 for an estimated $170 million from General Atlantic.
According to a statement, Apax said it will work closely with the founder and executive chairman of IBS Software, V K Mathews, who will remain the majority shareholder. Founded in 1997, IBS Software is a privately-held company with a team of 4,000 employees spread across the world.
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The software solutions of IBS Software are used across multiple segments such as cargo and logistics, flight operations, passenger services, loyalty programmes, cruise operations, energy and resource logistics, and hospitality distribution platforms.
V K Mathews, Founder and Executive Chairman of IBS Software, said, "This investment is an endorsement of our strategy and our commitment and contribution to the industry, and we have a shared vision with Apax for the future of the business.”
According to data from Tracxn, IBS Software registered a revenue of $167 million for the financial year ended March 31, 2022. The software company has cumulatively raised $230 million in funding, largely from private equity players.
“Over the last two decades, IBS Software has invested in products, innovation, and culture, while continuing to scale the business," said Jason Wright, Partner, Apax. "We believe there is tremendous growth potential ahead and look forward to leveraging our software experience to help IBS Software become a world leader in travel and logistics software.”
This transaction also shows the interest from private equity players in Indian software companies. There are also reports that IBS Software is also looking at a public listing in the US markets.
Edited by Kanishk Singh
