The private equity owners of Granicus are considering a sale of the government-services software company, with an estimated value of $4bn, including debt, Reuters reported.
Owned by Vista Equity Partners and Harvest Partners, the Denver-based company has engaged investment banks Jefferies and William Blair to initiate a sale process in the latter half of the year, people familiar with the matter told the news agency.
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The deliberations remain in the early stages, with sources cautioning that plans are still being finalised and that the timing of the sale could shift.
Vista Equity and Harvest Partners are seeking a valuation for Granicus that reflects more than 20 times its EBITDA of approximately $175m, Reuter’s report said.
While Vista Equity declined to comment, Harvest Partners, Granicus, Jefferies, and William Blair did not immediately respond to Reuters’ requests for comment.
Granicus, founded in 1999, offers cloud-based software and technology solutions to governments worldwide.
The company develops and manages government websites, handles public records, and upgrades technology to facilitate citizen communication with public officials.
Vista acquired a majority stake in Granicus in 2016, followed by a merger with GovDelivery, another Vista-backed software firm. Harvest acquired a significant stake in Granicus from Vista and K1 Investment Management in 2020.
Earlier in August 2024, it was reported that private equity investors Summit Partners and Vista Equity Partners, are exploring the sale of the US-based software company Trintech, .
Prior to that in November 2023, Blackstone and Vista Equity Partners reached an agreement to buy Australian software company Energy Exemplar, for a deal valued at more than $1bn (A$1.58bn).
