The private middle-market investment firm, HGGC is making a lot wave in the business market as a result of its purchase of FPX. FPX is a software company which makes CPQ (configure-price-quote) software. The CPQ software is utilized by most of the Fortune 100 companies to sell complex products. Acclaim Financial Group are the investors who previously owned FPX. The software company, FPX stated that it was reinvesting all the proceeds from the sale to bettering its market position.
In the recent past, the private equity firm, HGGC has been making a lot of expansion moves targeting the software sector. Investment experts believe that the firms increased investment in the business software sector is in preparation for its expansion. Recently, the private equity firm acquired StrongView, a marketing tech company. The marketing tech company announced later that it planned to expand its business into Europe.
In a recent announcement, the private equity firm made its intentions clear. Six new executives from different well-performing business firms were added to the management team. This private equity firm’s management stated during the announcement that was high expectation waiting for the new executives at their post. Among this expectation are to help the equity firm grow and expand its business beyond North America.
This private equity firm is among the best in the middle market. It currently has cumulative capital commitments adding up to $4.3 billion. The middle-market equity firm has its headquarters in Palo Alto, California. In the past, this firm hassuccessfully completed more than 90 platform investments, recapitalizations, liquidity events, and add-on acquisitions. All of these transactions totaled up to over $17 billion in aggregate value. HGGC has made a name for itself in the investment markets as a result of its quite successful ‘Advantage Investing’ approach. This successful approach works through the acquisition of scalable businesses at attractive multiples. The acquisitions are made possible by partnerships between the management, sponsors, and founder who agree to reinvest alongside the firm. On the new executives’ shoulders lays the formidable task of keeping up the stellar performance that the company has hard in the market in the past few years.