European private equity firm CapVest has agreed to acquire UK software company Kerridge Commercial Systems (KCS) from Accel-KKR.

The financial terms of the transaction were not disclosed.

However, citing sources, Bloomberg reported that the deal values KCS at over £800m ($1bn).

The Berkshire, England-headquartered company is engaged in offering industry-specific cloud software suites and services.

It is said to cater to more than 32,000 clients working in a variety of industries, including construction and automotive, engineering, food and beverage, IT and electronics, media, and pharmaceuticals.

CapVest principal Fred Raikes said: “We believe that KCS is well positioned to accelerate growth in the coming years capitalising on the ongoing demand for cloud ERP [enterprise resource planning], supported by the company’s reputation for best-in-class vertical-specific product functionality, quality and reliability.

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“We look forward to working with Ian and the team to continue to expand the platform via M&A as well as bringing additional innovative cloud products to market to continue to address customer needs globally.”

Accel-KKR invested in the software vendor in 2015. KCS employs over 100 employees across 21 offices across the globe.

KCS CEO Ian Bendelow said: “This is an exciting announcement for the whole KCS team, which will further solidify our position as a leading provider of mission-critical vertically focused SaaS globally.

“We operate in a fragmented and growing £3.4bn addressable market with significant whitespace opportunities as companies digitalise processes and migrate to the cloud. CapVest’s long track record of transforming the size and scale of its portfolio companies makes CapVest an ideal and exciting partner for us in pursuing our ambitious plans for the future.”