Epicor sold to Clayton, Dubilier & Rice

Epicor Software Corporation has been sold by KKR to private equity firm, Clayton, Dubilier & Rice (CD&R), in a deal valued at $4.7bn.

CD&R is now the third private equity firm to take ownership of Epicor over the last decade.

Over the past four years under KKR’s ownership, Epicor CEO Steve Murphy has driven growth through a combination of organic investments and strategic acquisitions. A series of new product releases led to a revenue mix comprising 73 percent recurring revenue.

Steve Murphy will continue to lead the company under CD&R. ERP Today asked Murphy if the new ownership structure would allow Epicor more flexibility and reach in the M&A market, and he said: “The great thing about our new partnership with CD&R is not only that they share our vision for future growth, but that they have a keen understanding of the industries we serve, who our customers are, and what our customers need. In fact, I’m thrilled that many of the companies in the CD&R portfolio are already Epicor customers. We both have a passion for the essential industrial and retail businesses that keep the economy moving. When it comes to acquisitions, we are of the same mind – we are accelerating into the future in a way that will stay true to who we are, but also best position us so we can serve our customers with innovative, industry-specific solutions that are best-in-class.”

We also asked Mark Hughes, regional vice president UK&I at Epicor, if the deal would change Epicor’s sales strategy and allow them to aggressively look for new customers, he said: “The CD&R acquisition is indeed exciting news for Epicor, as they share our vision of growth for the future. We love our customers, and we have many of them in the UK who have been with us for a long time, as well as great new customers who have just joined us, including Barrett Steel. This new partnership with CD&R offers the opportunity for us to further innovate on our customers’ behalf, to keep our peers on their toes through our fierce competition, and communicating our wins and successes on a wider scale.”