Key facts
- Enters definitive agreement to sell
SunGard Public Sector and Education businesses to Vista Equity
Partners for $850 million
- Cash proceeds, net of taxes and
transaction expenses, to be approximately $500 million
FIS™ (NYSE: FIS), a global leader in financial services
technology, today announced it has signed a definitive agreement to
sell its SunGard Public Sector and Education businesses to Vista
Equity Partners (Vista) for $850 million. The transaction is
expected to close in the first quarter of 2017, subject to required
regulatory approvals and customary closing conditions.
The transaction will include all SunGard Public Sector and
Education solutions, which provide a comprehensive set of
technology solutions to address public safety and public
administration needs of government entities as well as the needs of
K-12 school districts.
The SunGard Public Sector business will become a new independent
company under the ownership of Vista and will remain focused on
providing technology solutions to government entities, while the
SunGard Education business will become part of Vista-owned
PowerSchool to create a more comprehensive K-12 technology solution
offering for the education market.
“SunGard Public Sector and Education have performed well this
year with strong and growing client bases,” said Gary Norcross,
president and chief executive officer, FIS. “This divestiture is
consistent with our strategy to serve the financial services
markets.”
“For years, the SunGard Public Sector and Education businesses
have provided innovative and mission-critical solutions that serve
the diverse needs of public administration, public safety and
education officials,” said Brian Sheth, co-founder and president of
Vista. “We look forward to welcoming the businesses into the Vista
family and helping them reach their full potential in their
important respective markets.”
Anticipated Impact to 2017 Results
FIS expected the Public Sector and Education businesses to
contribute $0.15 – $0.16 to its full-year 2017 Adjusted EPS. The
company expects cash proceeds, net of taxes and deal-related
expenses, from the transaction of approximately $500 million. Net
cash proceeds will be used to reduce outstanding debt.
Barclays and BofA Merrill Lynch acted as financial advisors to
FIS. Willkie, Farr & Gallagher LLP served as FIS’ legal
advisors in the transaction. Kirkland & Ellis LLP served as
Vista’s legal advisor in the transaction.
About FIS
FIS is a global leader in financial services technology, with a
focus on retail and institutional banking, payments, asset and
wealth management, risk and compliance, consulting, and outsourcing
solutions. Through the depth and breadth of our solutions
portfolio, global capabilities and domain expertise, FIS serves
more than 20,000 clients in over 130 countries. Headquartered in
Jacksonville, Fla., FIS employs more than 55,000 people worldwide
and holds leadership positions in payment processing, financial
software and banking solutions. Providing software, services and
outsourcing of the technology that empowers the financial world,
FIS is a Fortune 500 company and is a member of Standard &
Poor’s 500® Index. For more information about FIS, visit
www.fisglobal.com.
Follow FIS on Facebook (facebook.com/FIStoday) and Twitter
(@FISGlobal).
About Vista Equity Partners
Vista Equity Partners, a U.S.-based investment firm with offices
in San Francisco, Oakland, Chicago and Austin with more than $28
billion in cumulative capital commitments, currently invests in
software, data and technology-based organizations led by
world-class management teams with long-term perspective. Vista is a
value-added investor, contributing professional expertise and
multi-level support towards companies realizing their full
potential. Vista’s investment approach is anchored by a sizable
long-term capital base, experience in structuring
technology-oriented transactions, and proven management techniques
that yield flexibility and opportunity in private equity investing.
For more information, please
visit www.vistaequitypartners.com.
About PowerSchool Group LLC
PowerSchool is the #1 leading education technology platform for
K-12, serving more than 24.5 million students, 43 million parents,
and 68 million users in over 70 countries around the world. We
provide the industry’s first Unified Classroom experience with
best-in-class, secure, and compliant online solutions, including
registration and school choice, student information systems,
learning management and classroom collaboration, assessment,
analytics, and special education management. We empower teachers
and drive student growth through innovative digital classroom
capabilities, and we engage families through real-time
communications across any device. Visit www.PowerSchool.com to
learn more.
Forward-Looking Statements
This press release may contain statements, estimates or
projections that constitute “forward-looking statements” pursuant
to the safe harbor provisions of the U.S. federal securities laws.
Generally, the words “believe,” “expect,” “intend,” “estimate,”
“anticipate,” “project,” “will” and similar expressions identify
forward-looking statements, which generally are not historical in
nature. Forward-looking statements are subject to certain risks and
uncertainties that could cause actual results to differ materially
from FIS’ historical experience and our present expectations or
projections. These risks include, but are not limited to, changes
in general economic, business and political conditions,
developmental and conversion delays or disruptions inherent with
new software products, technology and outsourcing solutions, and
risks of reduction in revenue from the elimination of existing and
potential customers due to consolidation in or new laws or
regulations affecting the banking, retail and financial services
industries, changes in the growth rates of the markets for our
solutions, and other risks detailed in our filings with the
Securities and Exchange Commission (SEC), including the “Risk
Factors” section of our Annual Report on Form 10-K for the year
ended December 31, 2015, and subsequent SEC filings. You should not
place undue reliance on forward-looking statements, which speak
only as of the date they are made. FIS undertakes no obligation to
publicly update or revise any forward-looking statements.
View source
version on businesswire.com: http://www.businesswire.com/news/home/20161207005428/en/
FISKim Snider, 904.438.6278Senior Vice PresidentFIS
Global Marketing and Corporate
Communicationskim.snider@fisglobal.comorPeter Gunnlaugsson,
904.438.6603Senior Vice PresidentFIS Investor
Relationspete.gunnlaugsson@fisglobal.comorVista Equity
PartnersAlan Fleischmann, 202.413.4495Laurel
Strategiesvista@laurelstrategies.com
Fidelity National Inform... (NYSE:FIS)
Historical Stock Chart
From Apr 2024 to May 2024
Fidelity National Inform... (NYSE:FIS)
Historical Stock Chart
From May 2023 to May 2024