TA Associates has completed a majority investment in DigiCert, a provider of online authentication and encryption services.
“We have known the professionals at TA Associates for many years and are pleased to welcome the firm as an investor in DigiCert,” said Nicholas Hales, CEO, DigiCert. “DigiCert has grown through strategic product development, key partnerships, an unrelenting focus on customer success and attracting strong talent to strengthen DigiCert’s corporate infrastructure. A partnership with a deeply experienced firm like TA fits squarely within that focus and we are confident this will prove to be a highly beneficial and productive relationship for DigiCert.”
DigiCert provides online authentication and encryption services primarily through Secure Socket Layer (SSL) certificates to companies, government agencies, financial institutions, and educational and medical institutions worldwide. DigiCert is the world’s third largest issuer of high-assurance certificates, serving more than 60,000 clients in 176 countries. The company was founded in 2003 and is headquartered in Lindon, UT (www.digicert.com).
“DigiCert offers a compelling value proposition to its customers,” said Jason Werlin, a Principal at TA Associates who will join the company’s Board of Directors. “The company’s differentiators include excellent customer service, best in class security and user-friendly tools, all offered at an affordable price. As a result, DigiCert has seen very strong growth over the past several years. We look forward to working closely with the company’s talented management team to continue that growth.”
TA Associates makes buyouts and minority recapitalizations of profitable growth companies in the technology, financial services, business services, healthcare and consumer industries. Since founding in 1968, TA has invested in over 425 companies globally and has raised more than $18 billion in capital. The firm was founded in 1968 and has offices in Boston, Menlo Park, London, Mumbai and Hong Kong (www.ta.com).
“We chose to partner with TA Associates because of their demonstrated experience in adding value to profitable, growing businesses such as DigiCert,” said Ryan Woodley, DigiCert’s CFO and COO. “Over the past several years, we have substantially grown revenues and increased market share primarily through earned trust and client referrals. With TA’s added support and strategic guidance we will strive to accelerate that growth.”
O’Melveny & Myers provided legal counsel to TA Associates. Goodwin Procter LLP served as legal counsel and William Blair served as a financial advisor to DigiCert.
“Growth in the SSL certificate market is the result of several trends, including the need for web pages handling sensitive information to have secure lines for data transfer, as well as new security challenges posed by cloud computing,” said A. Bruce Johnston, a Managing Director at TA Associates who will also join the company’s Board of Directors. “In addition, the continued growth in e-commerce and the attendant need to establish secure vendor websites will foster ongoing demand for SSL certificates. DigiCert is well positioned to capitalize on these trends.”
© 2012 PEPD • Private Equity’s Leading News Magazine • 12-17-12
