Our Take:

• Advent International’s acquisition of SYSPRO marks a significant shift from private ownership to private equity, aimed at scaling the company’s global footprint.
• Mike Ettling’s appointment as Chairman suggests a new strategic direction under seasoned software leadership.
• The transition comes as SYSPRO, founded in 1978 by Phil Duff, continues to evolve after over four decades of independent growth.
• Previous investment from RevTek Capital had already set the stage for SYSPRO’s recent growth initiatives, now further bolstered by Advent’s majority stake.

Summary:

Founded in 1978 by Phil Duff, SYSPRO has established itself as one of the longest-standing privately owned ERP software providers, specializing in manufacturing and distribution industries. The company has grown steadily over the years, now supporting over 15,000 customers across 60+ countries. Throughout its history, SYSPRO remained privately owned, with a strong focus on delivering industry-specific ERP solutions.

In recent years, SYSPRO began attracting external investment to fuel its growth. Notably, RevTek Capital provided financing to help optimize the company’s financial structure and support expansion initiatives. This strategic shift paved the way for the latest development: Advent International’s acquisition of a majority stake in SYSPRO, marking a major change in the company’s ownership.

With this acquisition, SYSPRO transitions from its longstanding private ownership to having a significant private equity stakeholder. Mike Ettling, a seasoned software executive, will join as Chairman of the Board, signaling a potential shift in strategic direction. The deal is expected to close by the end of Q3 2024, subject to regulatory approvals, and is anticipated to drive further growth and innovation for SYSPRO’s ERP solutions in key global markets.

Source: Advent International