Boomi is set to have new owners.
The Chesterbrook-based SaaS company, which was first acquired by Dell more than a decade ago, is now the center of an impending deal to be spun out of the computing giant to global investment firms Francisco Partners and TPG Capital.
The definitive agreement for the acquisition, announced in a company blog post back in May, is expected to close by the end of this year. The cash transaction for the deal is valued at $4 billion, the company said.
Boomi was founded by Rick Nucci, who went on to cofound Guru Technologies, where he’s now CEO. Nucci grew Boomi to about 30 people and sold it to Dell in 2010. The company specializes in cloud-based integration platform as a service (iPaaS).
The deal with Francisco Partners and TPG Capital “positions Boomi for its next phase of growth and is the right move for both companies, our shared customers and partners,” said Jeff Clarke, vice chairman and CEO of Dell Technologies said in a statement.
Clark continued, saying Dell is focusing on fueling growth by modernizing its infrastructure and PC businesses and expanding in areas like hybrid and private cloud, edge, telecom and APEX.
“I am incredibly proud that through innovation, passion and relentless execution, the Boomi team has created a unified platform for the modern-day hybrid IT landscape that thousands of customers worldwide depend on to digitally transform their business,” Chris McNabb, CEO of Boomi, said in a statement. “By partnering with two tier-one investment firms like Francisco Partners and TPG, we can accelerate our ability for our customers to use data to drive competitive advantage. In this next phase of growth, Boomi will be in a position of strength to further advance our innovation and market trajectory while delivering even more value to our customers.”
Dipanjan Deb, cofounder and CEO at Francisco Partners said in a statement that the firm had been tracking Boomi’s work on iPaaS for a number of years.
“The ability to integrate and connect data and workflows across any combination of applications or domains is a critical business capability, and we strongly believe that Boomi is well positioned to help companies of all sizes turn data into their most valuable asset,” Deb said.
As of late 2019, the Saas company had grown to about 1,200 employees worldwide, with about 400 employees based in its Chesterbrook office and about 25 employees in a Center City office. Its technology is used by more than 15,000 customers globally. A company spokesperson didn’t immediately respond to an inquiry about if Boomi’s staff would be affected.
In late 2019, Boomi announced it would be acquiring Unifi Software, which has locations in California and India and offers a cloud-based suite of self-service data tools that can help users find and use data.
“The acquisition expands Boomi’s industry leading integration and data management platform to accelerate successful, data-driven insights for customers,” the company said in a statement about the acquisition at the time.
— Chris McNabb (@ChrisMcNabb1) May 3, 2021