Motive Partners, a US private equity firm backed by the Irish Strategic Investment Fund, has taken a 40pc take in equity compensation management company Global Shares.
While no official financial details of the transaction have been publicised, sources estimate that Motive Partners paid approximately $25m for the 40pc stake.
Global Shares, which was founded in 2005, is headquartered in Clonakilty, Co Cork, with other offices located in London, New York, Hong Kong and Beijing.
Revenue at Global Shares has increased 60pc over the previous year and its employee headcount has grown from 68 in 2015 to more than 175 today. Further expansion is highly likely given the agreement with Motive Partners.
More than 250 blue-chip firms use Global Shares’ solution to operate and manage their employee share plans, including Sage Group and GlaxoSmithKline, among others.
Chair of Global Shares, Richard Hayes, said: “Today’s announcement is a resounding endorsement of the hard work of our team, and it shows that a growth firm from West Cork is capable of competing in the provision of innovative financial services solutions on a global scale.”
Minister of State at the Department of Finance Michael D’Arcy, TD, said the deal was a “great example of how an Irish company supported early on in its development can go on to create high-quality technology and financial services jobs at home and scale into an international success story”.
Deal to close by end of 2018
Tim Houstoun, CEO of Global Shares, said he was glad to see the company procure the investment it needs to boost its recruitment drive and fast-track the development of new software products.
The deal is subject to regulatory approval and is expected to close in the final quarter of the year.
Neil Cochrane, principal at Motive Partners, commented on Global Shares: “They have built an impressive business with an exceptional software and service offering that has driven strong international growth. We look forward to supporting the team as it takes the business to the next level.”
Mason Hayes & Curran is serving as Global Shares’ legal adviser, while EY Ireland, Proskauer Rose LLP and Matheson are serving as Motive Partners’ advisers.
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