Cinven, an international private equity firm, has bought TaxAct for approximately $720 million. Following the transaction, Cinven looks to bring the business together with its existing portfolio company, Drake Software.
TaxAct is a provider of digital, do-it-yourself tax filing assistance software and services. The company provides its services to over 85 million individual filers to date. Cinven made its significant investment in Drake in 2021 to support the next stage of the company’s growth. Drake Software offers comprehensive tax preparation software, servicing more than 70,000 tax offices throughout the U.S. Dom Morea will remain president and chief executive officer of Drake Software and Curtis Campbell will continue to lead the TaxAct business.
“The addition of TaxAct’s consumer tax preparation platform will further strengthen Drake’s capabilities to anticipate and serve the needs of all types of customers as today’s tax landscape becomes increasingly sophisticated,” comments Chris Good, partner at Cinven.
Evercore, J.P. Morgan, and Ropes & Gray LLP advised Cinven on this transaction.