Nordic Capital has agreed to sell Itiviti, a leading provider of trading technology and services to financial institutions worldwide, to Broadridge Financial Solutions a global Fintech leader, in a transaction valued at EUR 2.143 billion. Since Nordic Capital took Itiviti private in 2012, it has made substantial technology investments and fully transformed the Company to create one of the world’s leading providers of trading technology for the global capital markets industry.
Since assuming majority ownership of the Company, Nordic Capital has supported Itiviti by drawing on its experience and twenty-year track record of building and investing in cutting-edge technology businesses across Europe. During Nordic Capital’s ownership, Itiviti has developed from being a specialist financial software provider to becoming a global leader offering a modern cross-asset capital markets platform. This transformation was achieved through many years of significant technology investments, a carefully crafted technology acquisitions strategy and dedicated focus on setting up R&D capabilities and an organisational framework to meet future capital market needs. Today, Itiviti is fast-growing and has a leading global position with more than 2,000 customers world-wide, over EUR 200 mn in revenues and c. 1,000 employees.
“Itiviti’s cutting-edge trading technology enables customers world-wide to improve workflow in the capital markets. The Company has experienced a journey of growth and transformation during Nordic Capital’s ownership. With the combination of Itiviti and Ullink, Nordic Capital created a world leading technology and infrastructure provider that is ideally positioned to take advantage of increased complexity and regulations in the financial services industry. We are immensely proud of the Itiviti team and would like to thank them for their dedication and exceptional work. It’s now time for the Company to take the next step forward together with Broadridge, capitalising on next-generation technology platform and achieving even further growth and expansion”, said Fredrik Näslund, Partner, Nordic Capital Advisors.
“Under Nordic Capital’s ownership, Itiviti has grown to become a global force in the capital markets industry. As owners, they have been instrumental in supporting us during this development in the spirit of a true partnership and fully focused on seizing the opportunities available to Itiviti. With Broadridge as the new owner, we will be able to take the next natural step in our development and together provide even better technologies to meet our clients’ future demands”, said Rob Mackay, CEO Itiviti.
“The acquisition of Itiviti enhances Broadridge’s position as a global Fintech leader, expands our Capital Markets franchise and drives additional global scale by increasing our footprint in APAC and EMEA and our ability to serve global clients,” said Tim Gokey, Broadridge’s Chief Executive Officer. “Itiviti is highly complementary to Broadridge’s industry-leading post-trade product suite and other capital markets capabilities and this combination is expected to drive significant value to clients and shareholders”.
Technology and Payments is one of Nordic Capital’s focus sectors where it has extensive experience, a strong and active sector network, and a dedicated team within Nordic Capital Advisors across Northern Europe. As one of Europe’s leading tech investors, Nordic Capital has invested EUR 3.8 billion in 19 tech and payment companies since 2004. It has achieved repeatable success in this sector and developed thriving companies as evidenced by the performance of investments such as Bambora, Trustly, Cint, Siteimprove and Signicat. The sale of Itiviti comes just a few months after Nordic Capital announced the successful listings of portfolio companies Nordnet AB (publ), a pan-Nordic savings platform and Cint Group AB (publ), a global software leader in digital insights gathering, on Nasdaq Stockholm.
The transaction is subject to customary closing conditions and regulatory approval and is expected to close in the second quarter of 2021.
Credit Suisse and Morgan Stanley acted as financial advisors, Dechert as legal advisor, PwC as finance advisor and Oliver Wyman as commercial advisor to Nordic Capital.