DALLAS--HGGC, a leading middle market private equity firm, today announced that it has completed the acquisition of FPX, a SaaS company and leading provider of platform-agnostic enterprise Configure-Price-Quote (CPQ) applications. As part of the transaction, senior FPX management has reinvested their proceeds from the sale and retained a significant minority stake in the business. Terms of the private transaction were not disclosed.
Dallas-based FPX is positioned unlike any other vendor in the CPQ market sector. FPX believes that the critical business problems that large, global companies are desperate to solve are in fact bigger than line of business CPQ for sales enablement. This belief acts as the basis for FPX’s product strategy, which is to provide cloud-based applications that enable global enterprises to transform selling and buying experiences across all channels.
“FPX has long possessed product leadership in the market and we strongly believe we can partner effectively with management to amplify its success, following the blueprint we have used successfully with previous technology company investments,” said Richard Lawson, Co-Founder and CEO of HGGC. “FPX has the right products, a strong management team and successful track record of producing tangible business results for companies engaging in enterprise-wide quote-to-order initiatives. Our investment in FPX will enable the company to move beyond a product leadership position and establish market leadership in this important software category.”
FPX provides an omni-channel platform of cloud-based solutions that optimize and automate quote-to-order business processes, enabling large, global companies to sell complex products and services with incredible speed, efficiency and precision. Furthermore, FPX allows organizations to unite all of their individualized business systems and processes, creating a centralized solution to support all selling and buying channels.
HGGC and senior management have acquired 100% of the company, including all intellectual property assets. As part of the transaction, HGGC has tripled FPX’s working capital to accelerate its go-to-market strategies.
“It’s a great day for FPX employees, customers and partners! We are excited about working with our new owners, the structure of the New Company entity and our plans to grow and expand FPX,” said David Batt, CEO of FPX. “Our product technology and strategic position that CPQ solutions go well beyond the Sales line-of-business has been a hallmark of FPX, but we needed the right growth partner to realize our full potential. HGGC puts FPX in a position to realize its full market potential.”
FPX’s deep domain expertise, growth strategy and mature product lines have made it the industry’s sleeping giant. Now under HGGC ownership, the company can rapidly expand and accelerate its go-to-market strategies to address the quickly growing demand for enterprise-caliber CPQ platforms, capable of servicing all selling and buying channels.
FPX was advised by Tom O’Shea of Bentley Associates.
HGGC is a leading middle-market private equity firm with over $2.4 billion in cumulative capital commitments. Based in Palo Alto, Calif., HGGC is distinguished by its “Advantaged Investing” model that enables the firm to source and acquire scalable businesses at attractive multiples through partnerships with management teams, founders and sponsors who reinvest alongside HGGC, creating a strong alignment of interests. Over its history, HGGC has completed nearly 50 platform investments, add-on acquisitions, recapitalizations and liquidity events with an aggregate transaction value of more than $10 billion. More information is available at www.hggc.com.
FPX is a SaaS company and leading provider of enterprise Configure-Price-Quote (CPQ) applications. Based in Dallas, TX, FPX delivers a platform of cloud-based solutions that enables large, global companies to sell complex products and services with incredible speed, efficiency and precision across all channels. FPX Enterprise CPQ empowers companies to augment their existing CRM systems, Commerce sites, and ERP applications by providing an omni-channel platform to optimize and automate all Quote-to-Order business processes, including configuration, pricing, quoting, contract management, workflow, e-signature, and data management. More information is available at www.fpx.com.