Exclusive-Canadian real estate software provider Altus Group explores sale, sources say
The Toronto-based company is working with investment bankers, who in recent weeks have been soliciting buyer interest, the sources said, adding potential buyers were expected to include private equity firms that could take Altus private.
Altus' shares jumped 9 per cent after Reuters reported the company is exploring a sale, raising the company's market capitalization to C$2.9 billion ($1.8 billion).
The sources cautioned that no deal was guaranteed, and the company may decide to stay independent. They spoke on condition of anonymity to discuss confidential deliberations.
Altus Group did not respond to a request for comment.
Altus provides software, data solutions, and independent advisory services to the commercial real estate industry. Its software platform, known as ARGUS, allows clients to perform property valuations, cash flow modeling, and portfolio management, according to its website.
Altus' shares took a hit last week when Altus reported second-quarter earnings that missed analysts' estimates.
The company trimmed its revenue growth forecast for 2025 due to weakness in its appraisals and development advisory business, which Chief Financial Officer Pawan Chhabra on an analyst call attributed to muted transaction activity and ongoing economic uncertainty from tariffs on Canadian goods.
In 2024, Altus Group agreed to sell its property tax services business to tax software provider Ryan for C$700 million ($486 million).
($1 = 1.3777 Canadian dollars)
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