Koch to invest $2B+ in Infor

Nov. 16, 2016 – Koch Equity Development (KED), the investment and acquisition subsidiary of Koch Industries, has announced it will invest more than $2 billion in Infor, an enterprise software provider for the manufacturing industry.

The investment will provide Infor access to additional growth capital to accelerate existing growth as well as innovation, expand distribution, and continue disrupting the enterprise applications industry.

“Infor became the first company to move mission critical industry applications to the cloud, and now counts more than 66 million users of its cloud applications. The company’s double digit revenue growth in its most recent quarter was fueled by a 130-per-cent annual increase in SaaS revenue; more than half of Infor’s software revenues are now derived from cloud applications.
Infor’s unique cloud strategy uses Amazon Web Services, enabling the company to invest in deep industry functionality with capital that would otherwise be needed to maintain its own data centre infrastructure,” according to a statement from the company.

“The support we are providing to Infor marks one of the largest investments KED has ever made and demonstrates the confidence we have in Infor’s technology, team and business model,” said Matt Flamini, KED president.

“Koch is one of the largest private companies in the world with diversified holdings and immense resources to support the next exciting phase of growth at Infor and we are thrilled to have their support,” said Charles Phillips, CEO of Infor. “Some of the largest companies in the world have approached Infor looking for a modern alternative to the legacy options available for mission critical business applications. Infor has the scale and capital to provide a digital platform for the Global 5000.”

This transaction, which is subject to customary closing conditions and regulatory approvals, is expected to close in early 2017.