Sitecore, a leading Content Management Systems (CMS) in the global marketplace, announced that EQT VII (EQT), a leading global private equity group, has taken a majority ownership position in Sitecore. The investment by EQT values Sitecore at over $1.1 billion.
According to Morten Hummelmose, Partner and Head of Denmark at EQT Partners A/S, Investment Advisor to EQT, EQT has been following Sitecore for several years due to its “leading market position, strong technology offering and impressive growth story.”
Dominik Stein, Partner and Head of Technology, Media and Telecom at EQT Partners GmbH, Investment Advisor to EQT added, “in close cooperation with management, we want to help Sitecore continue to drive product innovation and expand further into the digital marketing software space. We are convinced that EQT’s industrial network and resources can support Sitecore to capture its full potential.”
Michael Seifert, CEO and co-founder of Sitecore said the partnership and acquisition is designed to sustain Sitecore’s growth and scale and Sitecore will continue to expand at a rapid pace.
To read the full press release, please see: Sitecore Partners with EQT as New Majority Investor – Sitecore Founders Rolling Significant Equity Position into New Partnership.
Last year an investment company bought two well-known CMS companies and made them one. That investment brought together two companies who could benefit from one another and become one of the key players in the CMS space. Separately they would have had a difficult time breaking out of the mid-range. This is not the situation with Sitecore. They are profitable, well known globally, and every large company will likely consider their CMS when in the market for a new system. This investment is about growth for an already well positioned company.
Their major competitor is Adobe in the CMS space. Growing their eCommerce offering would make sense for an area to expand. But to make such an investment there are certainly expansion plans in place and it will be interesting to see how this already top-of-industry company takes their product and company to another level.
It will be a few months before more news is announced as this deal is set to close in Q2 2016.