Carlyle Group to Acquire Intelliflo for $2 Billion, Expanding Financial Tech Presence

Carlyle Group (CG.US) has agreed to acquire Intelliflo, a software development company backed by Invesco (IVZ.US), for up to $2 billion. The acquisition price is structured in two parts: an initial payment of $1.35 billion upon completion of the transaction, and a potential earn-out payment of up to $65 million in the future. This strategic move underscores Carlyle's commitment to expanding its presence in the financial technology sector.

Intelliflo, established in 2004 and headquartered in London, has developed a robust financial planning and management software platform. This platform is widely adopted by approximately 2,600 consulting firms and over 30,000 professionals, highlighting its significance in the industry. The acquisition is expected to enhance Carlyle's capabilities in providing advanced financial solutions to its clients.

As part of the deal, Intelliflo's U.S. subsidiary will be renamed RedBlack and will operate as an independent entity. This subsidiary will be managed by a dedicated team, ensuring continued innovation and service excellence. The restructuring is aimed at leveraging the strengths of both companies to drive growth and efficiency in the financial technology space.

Invesco acquired Intelliflo from Hg in 2018, although the specific transaction amount was not disclosed. This acquisition by Carlyle Group represents a significant milestone for both companies, as it aligns with their strategic goals of enhancing their technological capabilities and market reach. The deal is expected to close in the coming months, subject to regulatory approvals and other customary closing conditions.

This acquisition is a testament to the growing importance of financial technology in the modern financial landscape. By integrating Intelliflo's advanced software solutions, Carlyle Group aims to provide its clients with cutting-edge tools for financial planning and management. The deal is also expected to create new opportunities for collaboration and innovation within the industry, benefiting both companies and their clients.