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Vista closes $4.6bn sale of Apptio to IBM; Brookfield and Braemont invest in insurance

Good morning dealmakers, thank goodness it’s Friday!

It’s Obey Martin Manayiti here with the Wire.

Today we are capping off the week with a look at six private equity-backed insurance deals that show growing momentum of dealflow in the sector.

We’ll also take a look a couple of recent deals, including the completion of Vista’s $4.6 billion sale of Apptio to IBM; and Northleaf’s $200 million investment in Tillman FiberCo.

Let’s start with the insurance industry.

Deal value up

Deal activity in the insurance sector has been relatively strong, noted PwC in its mid-year outlook. While the volume of deals was down in recent months, total deal value was up.

For the six-month period from mid-November 2022 to mid-May 2023, PwC recorded 194 announced transactions representing over $7 billion in deal value, compared with 263 announced transactions and $2 billion in deal value in the previous six-month period.

Listicle

PE Hub has seen a steady flow of deals in the sector.

I rounded up six North America-focused insurance PE deals that were announced between June and August.

To see highlights of the deals, subscribe to the premium version of the Wire.

Done deal

Vista Equity Partners has completed the sale of Apptio, a provider of software that aims to help companies manage their IT costs, to IBM in a $4.6 billion deal.

Vista bought Bellevue, Washington-based Apptio for $1.94 billion in 2019 and partnered with its CEO and co-founder Sunny Gupta to expand and diversify from a single product to a comprehensive IT financial planning platform.

Upgrade to the premium version of the Wire to get more on this deal

Building broadband

Northleaf Capital Partners is making an initial investment of $200 million in Tillman FiberCo, a broadband network builder and operator.

Northleaf can invest up to $300 million more as New York-based Tillman scales its operations, according to the press release.

Northleaf’s investment is expected to enable Tillman to accelerate its adoption of new technology.

That’s it for me today.

I’d love to hear from you at obey.m@pei.group.

And MK Flynn will be back with the newsletter on Monday.

Have a nice weekend.

Cheers,

Obey

Read the full wire commentary on PE Hub ...

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The UK’s Sustainable Disclosure Regime addresses a significant omission in the EU's SFDR: funds decarbonizing and transitioning assets to become more sustainable. What a shame, then, that the SDR has been delayed yet again. (New Private Markets)

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