Company Finance: TA Associates takes majority investment in Mitratech
Mitratech, a provider of systems for corporate legal departments, just announced it has agreed to receive a strategic majority investment from TA Associates, a leading global growth private equity firm. Marks Baughan is pleased to announce its role as financial advisor to TA Associates in this transaction. Vista Equity Partners will no longer retain its interest in Mitratech. Additional terms of the deal were not disclosed.
Since Vista’s investment in 2011, Mitratech’s client base has grown by almost 500% and revenue has tripled. Over the same period, client satisfaction has increased every year, and client retention has stayed consistently above 95%. Founded in 1968, TA Associates aims to invest in leading private companies in high-growth industries, with the goal of helping existing management teams further accelerate their company’s growth. The firm has invested in more than 450 companies around the world, including more than 100 software companies, and has raised more than $18 billion in capital.
“Our four-year partnership with Vista Equity Partners allowed us to transform our company and to execute on a strategy to deliver products that are powerful and comprehensive, but easier to adopt and less expensive for clients to implement and upgrade – an option never before offered to legal departments,” said Jason Parkman, Mitratech CEO. “Our new partnership with TA Associates allows us to stay private, nimble, and focused on our current strategy while leveraging TA’s global footprint and growth focus to deliver even more innovation and value to our clients.”
“We’ve been tracking the evolution of the entire legal software market for years and the strategic expansion of the General Counsel’s role in particular,” said Hythem El-Nazer, a director at TA Associates who will join the company’s Board of Directors. “Mitratech has emerged as the market leader in providing software solutions to GCs and corporate legal departments, and we are excited to further accelerate their success and growth in this rapidly advancing legal landscape by partnering with a management team that has proven its ability to operate a world-class organization.” Ashu Agrawal, a Managing Director at TA Associates, will also join Mitratech’s Board of Directors.
“Mitratech has delivered an unparalleled story of business transformation and growth over the past four years,” added Rob Rogers, principal and co-head of Vista Equity Partners Foundation Fund. “We are excited to see their trajectory continue through their partnership with TA Associates, and we are confident that they are in a great position to deliver even more value to their clients.”
• The deal represents Marks Baughan’s continued leadership role in this sector, having also advised Bridgeway (acquired by Mitratech), Datacert (acquired by Wolters Kluwer), and Serengeti (acquired by Thomson Reuters). Other recent deals including advisory mandates for Aderant (acquired by Madison Dearborn Partners), Anaqua (acquired by Insight Venture Partners), CTI (acquired by Markit), Eclipse Legal Systems (acquired by Capita plc), and Iris Data Services (acquired by Epiq Systems).