KKR to Acquire BMC Software From Bain Capital, Golden Gate

Molly Schuetz (Bloomberg) -- KKR & Co. will acquire information technology management provider BMC Software Inc., five years after Bain Capital and Golden Gate Capital took the company private in a $6.9 billion deal.

According to the agreement announced Tuesday, KKR will acquire BMC from an investor group led by Bain and Golden Gate together with GIC Pte Ltd., Insight Venture Partners and Elliott Management Corp. Terms of the deal weren’t disclosed.

BMC’s owners held talks in 2017 with CA Inc. about taking that $15 billion company private and combining the businesses, people familiar with the matter have said. The sale process had also attracted interest from private equity firm Thoma Bravo, separate people with knowledge of the process said, who asked not to be identified because the details weren’t public.

Before Tuesday, buyout firms had announced three $1 billion-plus technology acquisitions this year, including takeovers of Mitel Networks Corp., VeriFone Systems Inc. and CommerceHub Inc. according to data compiled by Bloomberg. There were just four such deals in all of 2017 and 2016.

BMC has about 6,000 employees in 30 countries, according to its website. The company helps customers including Vodafone Group Plc and Lockheed Martin Corp. manage their information technology systems.

Goldman Sachs Group Inc., Credit Suisse Group AG and Morgan Stanley advised BMC on the deal, while Macquarie Capital advised KKR.