Discover which US software company just attracted a major investment from Abu Dhabi’s sovereign wealth fund!

Delving into the Treasury of Journalistic Gems

Embark on a journey through the curated highlights of the week from Roula Khalaf, the Editor of the esteemed Financial Times, in the Editor’s Digest newsletter.

1. Abu Dhabi’s Investment in Qlik:
   • Abu Dhabi’s sovereign wealth fund, ADIA, is set to acquire a significant stake in the data analytics software company Qlik at a staggering $10 billion valuation. This move showcases the increasing interest among Middle Eastern investors in enterprises owned by major buyout groups worldwide.
   • ADIA’s investment of about $1 billion in Qlik signifies a monumental deal involving private equity giant Thoma Bravo selling off this US-based software company to various stakeholders, including other pension funds, sovereign wealth funds, and newer Thoma Bravo funds.
2. Financial Landscape Transformations:
   • The financial realm witnesses a wave of transformations as ADIA and several Middle Eastern funds partake in sizable financings amidst a backdrop of fluctuating interest rates and the need for investors to generate returns from existing investments.
   • Noteworthy investments by ADIA range from backing Advent International’s acquisition in the US wealth management sector to playing a pivotal role in KKR’s acquisition of Telecom Italia’s fixed-line phone and internet network.
3. Qlik’s Business Dynamics:
   • Qlik experiences a surge in interest from investors following its accelerated business growth highlighted by a forecasted $1.5 billion in sales this year. Subscriptions to its software see a 30% increase, underpinning its position as a key player in the data analytics domain.
   • A strategic merger with Talend in 2021 further solidifies Qlik’s presence in the market, with plans for additional equity investments and debt financing as part of a comprehensive recapitalization strategy.
4. Thoma Bravo’s Market Footprint:
   • Thoma Bravo’s evolution from a niche player to a powerhouse dealmaker is emblematic of the company’s growth trajectory, now boasting assets of $160 billion from $20 billion a decade ago.
   • Following a period of groundbreaking investments in 2021, Thoma Bravo now sets its sights on divesting assets, generating substantial gains, and making strategic acquisitions in the software sector. The group’s prominence in the industry is underscored by its ongoing fundraising efforts for its 16th buyout fund.

The financial landscape is ever-evolving, with key players like ADIA and Thoma Bravo shaping the industry’s trajectory through strategic investments and transformative deals. As opportunities abound, investors and stakeholders alike are navigating these dynamics with acumen and foresight, opening new avenues for growth and innovation in the global market.