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GTCR invests $1.33 billion in software firm Tricentis

EditorFrank DeMatteo
Published 26/11/2024, 16:24
BAC
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AUSTIN, Texas - In a significant move within the software quality testing market, Tricentis, an enterprise focused on continuous testing and quality engineering, has received a $1.33 billion investment from GTCR, a leading private equity firm. The transaction, which values Tricentis at $4.5 billion, was approved by the company's existing investor, Insight Partners, and is expected to propel Tricentis's growth and innovation strategies.

The partnership comes as Tricentis projects to close 2024 with over $425 million in annual recurring revenue, marking a 27% year-over-year growth. Tricentis, founded in 2007 and headquartered in Austin, Texas, has expanded its global presence with 26 offices and serves over 60% of Fortune 500 companies with its AI-powered testing platform.

Kevin Thompson, CEO of Tricentis, expressed confidence in the company's trajectory and welcomed GTCR's investment as a catalyst for further expansion. Mark Anderson, Managing Director at GTCR, highlighted Tricentis's leadership in the software quality testing domain and the firm's enthusiasm for supporting the company's next growth phase.

Insight Partners, which took majority ownership of Tricentis in 2017, also praised the company's global leadership position and its ability to turn quality into a competitive advantage for enterprises.

The financial advisors for the deal included Evercore Inc., J.P. Morgan Securities LLC, and Bank of America (NYSE:BAC), with legal counsel provided by Willkie Farr & Gallagher LLP for Insight Partners and Tricentis, and Kirkland & Ellis LLP for GTCR.

This investment marks a milestone for Tricentis, emphasizing the significance of software quality testing in the digital transformation era. The company's AI-based, codeless testing approach has been recognized by industry analysts as transformative for DevOps, cloud, and enterprise applications.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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