Dell has agreed to sell Chesterbrook-based Boomi to private equity firms Francisco Partners and TPG. The transaction values the cloud-based integration platform at $4 billion, including debt, writes Miriam Gottfried for The Wall Street Journal.
Dell acquired Boomi 11 years ago. The company, whose software aids in data transfer among apps, is a player in the fast-growing iPaaS market.
Francisco Partners already attempted to acquire Boomi in 2016. It partnered with Elliott Management to buy Dell Software Group and the cloud business that came along with it. Dell was, however, not interested in selling Boomi at the time.
Five years later — after a review that showed Boomi as fast-growing but as profitable as expected — the company decided to sell after all.
Francisco Partners, which manages more than $25 billion in assets, focuses on partnering with technology companies. Meanwhile, TPG manages more than $91 billion in assets.
“Both of our firms have really distinguished ourselves in technology carve-outs,” said Dipanjan Deb, CEO of Francisco Partners. “Dell was very focused on who was going to take care of their baby.”
Read more about Boomi in The Wall Street Journal.