Australia's Iress in buyout talks with Blackstone, Thoma Bravo

CNA

16 hours ago

Australia's Iress said on Friday it had previously considered a takeover approach from Blackstone and is now in preliminary discussions with both the U.S. investment company and private equity firm Thoma Bravo over a fresh proposal.
The initial proposal from Blackstone valued Iress at A$1.94 billion ($1.27 billion) but was later withdrawn, the Australian financial software firm said, without providing further details in its statement.
The takeover bid comes at a time when global private firms are gathering more interest for Australia-listed software players. Earlier in the week, automotive software platform provider Infomedia agreed to a A$651 million takeover by TPG's Asia-focussed private equity fund.
"Iress is currently in the early stages of engagement with Blackstone and Thoma Bravo in order to ascertain whether an offer can be made which can be recommended by the Iress Board," the company said on Friday.
The announcement follows a report by the Australian Financial Review that Iress was in talks with Blackstone over a potential buyout, which could value the company at about A$1.9 billion.
Blackstone declined to comment, while Thoma Bravo did not immediately respond.
Iress is not unfamiliar with takeover interest from private equity firms, having previously drawn a $3 billion deal from Swedish investment firm EQT in 2021. The deal ultimately fell through after EQT walked away despite making several improved offers.
The company's stock closed at A$8.38 per share on Thursday, having lost more than 44 per cent in market value since touching its record high in August 2021.
In February, Iress reported a net profit after tax attributable of A$30.1 million in fiscal 2024, along with A$604.6 million in revenue.
The company will release its half-year earnings next week.
($1 = 1.5323 Australian dollars)