With InRule, OpenGate clinches fifth deal this year

OpenGate Capital Partners, which is out fundraising for its latest flagship, scored its fifth investment this year.

OpenGate said Aug. 19 that it acquired InRule Technology Inc. Financial terms weren’t announced.

Founded in 2002, InRule provides enterprise software that helps businesses to automate their decisions. The Chicago company has more than 400 customers, including American Express, Barclays, Arizona Department of Education, Allstate, Aon, HP, Exelon and others.

The enterprise value of the deal is $20 million, or 2x revenue, sources said.

Headquartered in Los Angeles and Paris, OpenGate targets lower middle-market companies in sectors including industrials, technology, consumer and business services sectors. So far this year OpenGate has invested in Duraco, Sargent,Greenleaf, SMAC and Fiven.

The firm is currently marketing for its second fund. OpenGate Capital Partners II is seeking $450 million, Buyouts reported in September 2018. The firm’s first fund closed on $305 million in 2016, according to press reports.

Marlin & Associates advised InRule on the transaction, the sources said.

OpenGate declined to comment on the transaction. InRule did not respond to a request for comment before press time.

Action Item: View OpenGate’s latest form ADV.