Exclusive: Roper Technologies in $5.5 billion bid for Vertafore – sources


© Reuters.

By Greg Roumeliotis and Joshua Franklin

(Reuters) – Roper Technologies Inc (N:), a U.S. provider of software to several industries, is in talks to acquire private equity-owned insurance software vendor Vertafore Inc for close to $5.5 billion (4.2 billion pounds), people familiar with the matter said on Sunday.

The deal would be Roper’s largest acquisition to date. It would signal that the highly acquisitive company has not given up on its expansion plans in the wake of the COVID-19 pandemic, which has caused some of its customers to review their spending plans.

Roper has been competing against private equity firms in an auction for Vertafore, which is owned by buyout firms Vista Equity Partners and Bain Capital, the sources said. If Roper can conclude the negotiations successfully, an agreement could be announced as early as this month, the sources added, cautioning that no deal is certain.

The sources requested anonymity because the negotiations are confidential. Roper declined to comment. Vertafore, Vista Equity and Bain did not immediately respond to requests for comment.

Headquartered in Sarasota, Florida, Roper has grown, largely through acquisitions, to a provider of software and automated solutions to a variety of sectors, including healthcare, transportation, food, energy and education. It has a market capitalization of $46 billion.

Insurance software companies have seen rising demand for products that give customers instant access to their information and help insurance providers cut costs. Acquiring Vertafore would be in line with Roper’s strategy of snapping up software companies in niche markets with strong recurring revenues.

READ  TikTok says it has 'no choice' but to sue Trump administration over threatened U.S. ban

Vertafore, based in Denver, is one of the primary vendors of software to the property and casualty insurance industry. Vista and Bain acquired the company in 2016 from private equity firm TPG for $2.7 billion, including debt.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.





READ SOURCE

LEAVE A REPLY

Please enter your comment!
Please enter your name here