Thoma Bravo has agreed to sell its portfolio company Digital Insight, a provider of digital banking capabilities to financial institutions, to NCR Corporation for $1.65 billion. Thoma Bravo formed Digital Insight in August 2013 to acquire Intuit Financial Services, a division of Intuit, for $1.025 billion. The sale of Digital Insight is expected to close during the first quarter of 2014.
“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. “Digital Insight has attracted interest from NCR with its strong set of online and mobile banking products, rich client list, and accomplished employees.”
Digital Insight provides an integrated digital banking platform for 11 million users, widely recognized as one of the best in the market. Its mobile banking suite is the industry benchmark, with a 4.7+ app store rating and best in class user adoption of more than 4 million customers. Digital Insight was first founded in 1995 as Internet banking provider. The company was purchased by Intuit in February 2007 and was renamed Intuit Financial Services. Digital Insight is headquartered in Menlo Park (www.digitalinsight.com).
“Thoma Bravo was an experienced and trusted partner during our carve-out from Intuit, and I appreciate the effort from our team at Digital Insight,” said Digital Insight CEO John O’Malley. “Thoma Bravo gave us the tools and knowledge to succeed as a standalone company and we look forward to our next stage with NCR.”
Thoma Bravo provides equity and strategic support to management teams building growing companies. The firm originated the concept of industry consolidation investing, which seeks to create value through the strategic use of acquisitions to accelerate business growth. Thoma Bravo currently manages approximately $4 billion of equity capital. The firm was founded in 1981 and has offices in Chicago and San Francisco (www.thomabravo.com).
“It was a pleasure to work with the leadership team at Digital Insight, and we wish them the best as part of NCR’s Financial Services line of business,” said Thoma Bravo managing partner Holden Spaht.
NCR Corporation (formerly National Cash Register) is a computer hardware and electronics company that provides products and services that enable businesses to connect, interact and transact with their customers. Its main products are self-service kiosks, point-of-sale terminals, automated teller machines, check processing systems, barcode scanners, and business consumables. NCR was founded in 1884 and is based in Atlanta (www.ncr.com).
© 2013 PEPD • Private Equity’s Leading News Magazine • 12-3-13