SS&C to buy Intralinks

Source: SS&C Technologies

SS&C Technologies Holdings,a global provider of financial services software and software-enabled services, today announced it has entered into a definitive agreement to acquire Intralinks Holdings, Inc. from affiliates of Siris Capital Group for total consideration of $1.5 billion.

The purchase price will consist of $1 billion in cash and $500 million in SS&C stock, with the per share price of the stock based on the volume weighted average trading price for 30 trading days prior to closing. SS&C and Frank Baker, Siris' co-founder and managing partner, expect that Mr. Baker will join the SS&C Board of Directors following the closing on a mutually-agreed date.

Intralinks is a leading financial technology provider for the global banking, deal making and capital markets communities. The company facilitates strategic initiatives including mergers and acquisitions, capital raising and investor reporting by enabling and securing the flow of information. Intralinks innovates to enhance the value, speed and confidentiality of deal making, reporting and communications – driving success for its users. Intralinks provides the leading investor communications platform for private equity and hedge fund professionals with the largest hosted community of general and limited partners for the alternative investments industry.

"Intralinks brings a wealth of expertise and a leadership position in the data sharing and collaboration technology space," said Bill Stone, Chairman and Chief Executive Officer, SS&C Technologies. "Intralinks and SS&C share many of the industry's largest customers and together we are well-positioned to meet the needs of major banks, alternative funds and other corporations seeking to automate document-centric, collaborative workflows."

"I have been privileged to lead Intralinks through an exciting period in which we refocused the business on delivering innovative technology to the financial services sector," said Leif O'Leary, Chief Executive Officer of Intralinks. "Intralinks' acquisition by SS&C is a testament to the progress we have made toward our strategic objectives, and we are excited to deliver even more value to our customers as a combined business."

"My colleagues at Siris and I recognize the tremendous work the Intralinks team has done to deliver on its strategic vision and generate profitable growth under our ownership," said Frank Baker, a Co-Founder and Managing Partner, Siris Capital. "We believe that the combination of Intralinks and SS&C will benefit customers, employees, partners and investors."


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In 2017, Intralinks had total revenues of $303 million and adjusted EBITDA of $115 million. Its trailing twelve month (LTM) total revenues as of June 30, 2018 are $325 million (9% growth over the LTM period ended June 30, 2017) and its LTM adjusted EBITDA as of June 30, 2018 is $132 million, with margins of 41%. SS&C expects an additional $15 million in run-rate cost savings achieved by 2021.

The transaction is expected to be immediately accretive to SS&C's adjusted earnings per share and to be leverage neutral for SS&C. The purchase price represents 10.9x expected 2018 adjusted EBITDA and 9.8x after giving effect to synergies.

SS&C Technologies has secured up to $1.0 billion of fully committed financing from Deutsche Bank, Citigroup, RBC Capital Markets and Credit Suisse. Davis Polk & Wardwell LLP acted as legal advisor to SS&C, and Wachtell, Lipton, Rosen & Katz acted as legal advisor to the seller and Intralinks in connection with the transaction. Evercore and RBC Capital Markets are acting as financial advisors to the seller and Intralinks.

The transaction is expected to close in the fourth quarter of 2018 and is subject to clearance by the relevant regulatory authorities and other customary closing conditions. 

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