3i-backed Adaytum, which was founded in a flat in Bristol, has been sold for $160 million. The acquirer Cognos, a Nasdaq- listed company headquartered in Ottawa, Canada, specialises in business intelligence and performance planning software for businesses. The deal returns $22 million to 3i, or an IRR of 30 per cent on its $9.5 million investment.
Adaytum offers planning and performance management solutions for business and public sector organisations, with more than 1,500 customers worldwide. Its financial software planning products allow companies to budget, plan and forecast their performance. Founded in the UK in 1990, Adaytum was incorporated in the US in 1998. It now has its headquarters in Minneapolis and offices in the UK, the Netherlands and Australia. It is also represented in more than 35 other countries through a network of strategic alliance partners and value-added resellers. In Q3 2002 Adaytum recorded worldwide revenue of $17 million.
3i’s involvement with Adaytum began in 1996, when the company’s sales were £3 million. 3i initially invested £600,000 to help fund Adaytum’s expansion in the US. The company has received a total of $50 million in venture backing in seven different rounds. Other investors in Adaytum are American Express, Cargill, CIBC, Dorsey & Whitney Ventures, JP Morgan Chase H&Q and St. Paul Venture Capital.