KKR Backs apexanalytix
June 7, 2022
has signed a definitive agreement to acquire a majority interest in the
Company. apex’s largest shareholder, Carousel Capital, a private
investment firm that invests in companies located in the Southeastern
United States, will remain a significant minority owner in the Company
apex is a pioneer in the supply chain software, data, and analytics
markets with data-powered software and services for supplier management,
fraud prevention, and overpayment recovery. The Company serves over 250
Fortune 500 and Forbes Global 2000 companies, protecting more than $8
trillion of annual spend across many of the world’s most complex supply
chains. apex’s solutions help prevent and recover more than $8 billion
for the Company’s customers every year. apex’s leading suite of products
includes its revolutionary overpayment and fraud prevention software,
firststrike, as well as its supplier management platform, apexportal,
and smartvm, which provides a compliant master data management solution
in global procure-to-pay processes.
“We are pleased to welcome KKR as our largest shareholder and a
tremendous new strategic partner to help us accelerate our mission of
being the ultimate supplier information, risk and opportunity management
solution for the world’s largest companies,” said Steve Yurko, CEO of
apex. “KKR’s deep experience across industries, geographies and all
facets of the global supply chain will position us to address our
customers’ needs with even greater agility. We are grateful to the
Carousel Capital team for playing a key role in our growth over the past
eight years and we look forward to continuing this great relationship.”
Driven by innovation and an ability to solve the most complex supply
chain challenges for the world’s largest companies, apex has achieved
consistent double-digit organic growth over the last five years and
accelerated its growth through the recent market disruptions of the last
two years. KKR’s investment and global resources will help accelerate
apex’s global expansion and support further investment in product
development and recruitment of top talent. With KKR’s support, the
Company also plans to continue and expand its longstanding and
innovative program of broad-based employee ownership, making apex
associates participants in the equity growth of the business alongside
KKR and Carousel.
“apex sits at the intersection of multiple themes where we have had
strong conviction over the past decade, including digitization and
data-enabled platforms, the increasing fragmentation of global supply
chains, and the rise of sophisticated technology solutions and
tech-enabled services that can create operational efficiencies and
generate tangible savings,” said Webster Chua, Partner at KKR. “We are
excited to invest behind this exceptional team and to use our resources
to help them continue to deliver best-in-class supply chain management
solutions to customers around the world.”
the past eight years, we have enjoyed working with apex and its
management team to build the leading technology and services solution to
address the complex supply chain management needs of enterprise
customers,” said Charles Grigg, Managing Partner of Carousel Capital.
“We are excited that KKR is investing as apex’s new strategic partner
which will allow the company to continue to accelerate the measurable
value delivered to its customers. And we are thrilled that we will
continue as an equity partner and be able to contribute to the future
growth initiatives of this incredible business.”
KKR is making the investment through
its North America Fund XIII. Carousel initially invested in apex in 2014
out of its fourth fund and in 2020 sponsored a recapitalization of the
business through a single asset continuation fund and its fifth fund.
The transaction is expected to close in the second half of 2022, subject
to regulatory approvals and other customary closing conditions.
Financial terms of the transaction were not disclosed.
UBS Investment Bank and Kirkland & Ellis served as advisors to KKR.
William Blair and KL Gates served as advisors to apex and Carousel.