SS&C Technologies is For Sale

SS&C Technologies (SSNC) has recently reached out to several private equity firms to gauge interest

Carlyle Group LP paid about $942 million to take the company private in November 2005 and brought the company public in 2010

 

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SS&C Technologies Holdings Inc. (SSNC) has recently reached out to several private equity firms to gauge interest in a buyout of the financial software and services provider, reports Bloomberg.

SS&C Technologies Holdings, Inc. provides software products and software-enabled services to financial service providers in North America, Europe, Asia, Australia, and Africa. Its products and services allow its clients to automate and integrate front-office functions, such as trading and modeling; middle-office functions comprising portfolio management and reporting; and back-office functions, including accounting, performance measurement, reconciliation, reporting, processing, and clearing.

High Valuation

The company’s management team has so far failed to move beyond preliminary talks with buyout firms, which have balked at SS&C’s high valuation, the people said, asking not to be identified as the discussions aren’t public. Shares are trading close to all-time highs at $38.40, giving it a market value of about $7.8 billion.

SS&C has previously been under private equity ownership. Carlyle Group LP paid about $942 million to take the company private in November 2005. Carlyle held an initial public offering of the company in 2010, retaining a stake before fully exiting its position in 2013.

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The article does not constitute investment advice. Each reader is encouraged to consult with his or her individual financial professional and any action a reader takes as a result of information presented here is his or her own responsibility.

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