Apax Funds, a global private equity firm, has agreed to purchase a significant stake in IBS Software, a Kerala-based software-as-a-service (SaaS) provider in the travel and logistics industry. The stake, previously owned by Blackstone, is valued at $450 million. Following the transaction, Apax will collaborate closely with V.K. Mathews, the founder and executive chairman of IBS Software, who will retain the majority ownership.

The deal is expected to be finalised by the end of the second quarter of 2023, pending customary closing conditions. Additional financial details have not been disclosed.

JPMorgan serves as the financial advisor to both IBS Software and Blackstone. Drew & Napier LLC is acting as legal counsel to IBS Software, and Simpson Thacher & Bartlett LLP represents Blackstone. Apax has enlisted Kirkland & Ellis LLP as its legal counsel and Jefferies LLC as its financial advisor, as stated in the official announcement.

Established in 1997, IBS Software specialises in providing next-generation SaaS solutions for critical operations in the aviation, tour and cruise, hospitality, and logistics sectors. With over 25 years of deep domain expertise and a global team of 4,000 professionals, the company’s cloud-native platform caters to the mission-critical technology needs of the travel industry.

Their modular, cloud-based solutions are designed specifically for the travel sector. They offer various services, including cargo and logistics, flight operations, passenger services, loyalty programs, cruise operations, energy and resource logistics, and hospitality distribution platforms.

In 2015, Blackstone acquired a 40% stake in IBS Software from General Atlantic for $170 million, marking a significant investment in the company’s growth.