firm insight partners 290m manhattanmercury, An owner of a Manhattan software company claims that a multimillion dollar investment won’t alter the company’s structure.
Owner Ward Morgan of CivicPlus told The Mercury on Friday that the company, which offers cloud-based software for local governments, has announced a $290 million investment from private equity firm Insight Partners.
Although Morgan and his wife, Brenda, admitted to being “a little bit sad in a way” that they are no longer the company’s principal owners, he expressed excitement for what this relationship will entail for the CivicPlus team and the neighbourhood.
It’s a great deal, added Morgan. It’s not a hostile takeover, so “we’re not expecting to see a whole lot of change, other than maybe quickening our growth goals a little bit.”
According to Morgan, BB Investments has been a minority partner in CivicPlus for the previous two years as an outside investment. BB Investments contributed knowledge and funding to support business expansion. Morgan claimed that he has received approaches from many private equity groups looking to acquire BB Investments.
To determine if it was a good fit or not, “We worked with five of them,” Morgan said. “In that, Insight triumphed.”
According to Morgan, Insight Partners has experience making investments in software firms, so he chose to negotiate a deal with them. CivicPlus’s principal investors, Insight Partners, acquired BB Investments.
Companies that want to invest in us have approached me, I would say practically weekly, Morgan added. However, Insight is actually the person we believed understood our objective to assist local governments in becoming better.
The objectives and mission of CivicPlus, according to Morgan, “have been bought into” by the consultants at Insight. He claimed that while his software company had previously assisted in acquisitions, Insight “has a bigger checkbook” to support larger acquisitions should they be required. According to him, the cooperation will also expand the company’s toolkit with expertise in domains like marketing, software development, human relations, and finance.
According to Morgan, “it’s similar to how you may pay a significant consulting firm to come in and help make your company better and help it expand.” “They are simply there to be a partner, not to come in and mandate anything.”
More than 4,000 municipal governments, including the city of Manhattan, use software and technological solutions from CivicPlus. According to Morgan, this deal has absolutely no drawbacks.
No layoffs, restructuring, or other such actions will take place at CivicPlus, which will continue to be located in Manhattan, Morgan assured. In reality, our growth strategy might be slightly accelerated.
Morgan said the people who follow the software development and technology industry are “very aware” of CivicPlus and where the business is located.
He said there is a concept called “Silicon Prairie,” which is similar to Silicon Valley in California but provides its own advantages.
“Firms that are interested in us like that we’re in the Midwest, they like our work ethic, and the cost is a little bit lower compared to Silicon Valley,” Morgan said. “It’s also relatively easy for them to come visit us and vice versa.”
The headquarters of Insight Partners are in New York. For the benefit of the more than 400 enterprises it supports, the company raised more than $30 billion in financial commitments. Ryan Hinkle, managing director of Insight Partners, said in a statement that the Civic Experience Platform from CivicPlus exemplifies the kind of market leadership the company seeks in its investments.
According to Hinkle, CivicPlus is in a unique position to reinvent the part that technology plays in the interaction between local governments and their constituents.
When choosing a partner company, Morgan claimed he started to be a little more selective.
We were able to choose a really outstanding company since there was fierce rivalry among businesses looking to invest in us, according to Morgan.