Exclusive: Warburg Pincus Nears €700M Deal to Acquire Germany’s PSI Software

By / / Breaking News

Key Takeaways

  • Warburg Pincus is reportedly nearing a deal to acquire German software maker PSI Software (PSAN) for more than 700 million euros (approximately $813 million).
  • The transaction would value PSI Software at 45 euros per share, representing a premium of more than one-third over its closing price on Friday.
  • PSI Software, a specialist in software for energy networks, had previously confirmed advanced discussions with Warburg Pincus, Thoma Bravo, and HgCapital.
  • German utility E.ON, which holds nearly 18% of PSI Software shares and is a major customer, intends to retain its stake following the acquisition.

Private equity firm Warburg Pincus is reportedly on the verge of acquiring German software developer PSI Software (PSAN) in a deal valued at over 700 million euros, equivalent to approximately $813 million. Sources familiar with the matter indicate that an announcement could come as early as Monday, though the deal is not yet formalized and details could still be subject to change.

The proposed acquisition would value PSI Software at 45 euros per share, offering a substantial premium of more than a third compared to its closing price on Friday. PSI Software specializes in developing critical software solutions for energy networks, a sector that has seen increasing investment and strategic importance.

The German software maker had previously disclosed that it was in advanced discussions with several private equity heavyweights, including Warburg Pincus, Thoma Bravo, and HgCapital, regarding a potential investment agreement and takeover offer. Goldman Sachs is overseeing the sales process for PSI Software.

Notably, German utility E.ON, which is both a significant customer and the second-largest investor in PSI Software with almost 18% of its shares, has expressed its intention to maintain its stake post-acquisition. Both PSI Software and Goldman Sachs have declined to comment on the ongoing negotiations, while Warburg Pincus was not immediately available for comment.

Disclaimer: This article is for informational purposes only and does not constitute financial advice. We are not financial professionals. The authors and/or site operators may hold positions in the companies or assets mentioned. Always do your own research before making financial decisions.
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