Thoma Bravo to sell Digital Insight after four months for $1.65 bln

• Firm acquired Digital Insight in August for $1.025 bln

• Thoma Bravo contributed 47 pct equity

• Company had about $325 mln revenue in fiscal 2013


The PE firm announced it was selling the company to NCR Corp. The deal is valued at $1.65 billion.

The sale comes just four months after Thoma Bravo completed its buy of Digital Insight, which was formerly known as Intuit Financial Services. The buyout shop acquired Digital Insight in August for $1.025 billion. Thoma Bravo contributed about 47 percent equity, Thomson Reuters Loan Pricing Corp reported in October. That works out to roughly $482 million.

Officials for Thoma Bravo declined comment.

Menlo Park, Calif.-based Digital Insight provides banking software to financial institutions. The company was expected to have about $325 million in revenue in fiscal 2013, Reuters reported in July. NCR also said Monday it had acquired Alaric Systems, which provides secure transaction switching and fraud prevention software, for about $84 million.

“Thoma Bravo was able to establish Digital Insight as a standalone company following our acquisition from Intuit in August, while also offering Intuit a successful and efficient outcome,” said Thoma Bravo managing partner Orlando Bravo in a statement.

Thoma Bravo is currently investing out of its tenth fund, which collected $1.25 billion in 2012. The pool is generating a 14.64 percent IRR since inception as of March 31, according to the California State Teachers’ Retirement System. The PE firm is also seeking $400 million for a vehicle called Thoma Bravo Special Opportunities Fund I LP, Buyouts has reported.

Thoma Bravo invests in enterprise and infrastructure software, financial and business services, as well as education. It typically invests between $25 million to $200 million of equity, or more, per deal, according to the firm’s website.

RBC Capital Markets, JP Morgan and BofA Merrill Lynch advised NCR.

Luisa Beltran is a senior reporter for peHUB