Rimini Street, a software support service provider, has merged with alternative investment firm GP Investments Acquisition Corp. (Nasdaq: GPIA) in a deal valuing the newly combined company at $837 million. Rimini Street will be traded publicly under the ticker symbol (Nasdaq: RMNI) as part of the deal.
Rimini Street provides a variety of support services for software, security, risk avoidance, technology, archiving, and account management. The Las Vegas-based company, founded in 2005, supports a range of Oracle (NYSE: ORCL) and SAP (NYSE: SAP) software including SAP Hana Database and Oracle Retail. Funds from the merger agreement will be used as additional growth capital to expand service offerings and capabilities.
GPIAC is a Latin American alternative investment company focused on asset management, specifically private equity funds. The firm was founded as a special purpose acquisition company by GP Investments in May 2015. GP Investments has invested in more than 50 companies and raised more than $5 billion since its inception in 1993. The Rimini Street merger with GPIAC is intended to help fund potential acquisitions and strengthen the combined company’s balance sheet.
Software and software-as-a-service companies are continuing to drive deals throughout the middle-market. Acquisitions within the sector include: private equity firm HGGC buying event management software provider Etouches; Thoma Bravo’s acquisition of LexMark International’s enterprise software unit for an undisclosed amount; Francisco Partners’ purchasing a majority stake in SmartBear Software, a company that makes tools for software developers; Cisco Systems Inc. (Nasdaq: CSC) is buying network management provider Viptela; Golden Gate has agreed to purchase interior design software maker 2020 Technologies; and Community Brands has bought Abila, a software provider for associations and non-profit organizations from private equity firm Accel-KKR.