Altus Group Tackles Complexity of Global Investment Management with Acquisition of Taliance
TORONTO & PARIS – Altus Group Limited (“Altus Group” or “the Company”) (TSX: AIF), a leading provider of commercial real estate services, software and data solutions to the global commercial real estate industry, announced today that it has acquired Taliance Group (“Taliance”) for €20.0 million (approximately C$31.0 million). Taliance is a best-in-class and rapidly-growing provider of cloud-based alternative investment software used by some of the largest investment firms worldwide.
The acquisition has a number of key benefits for Altus Group:
- The addition of Taliance’s software solutions delivers a comprehensive investment management capability that provides flexibility and transparency to manage the most complex investment structures and scenarios;
- Immediately allows Altus Group’s ARGUS Enterprise, the global standard for asset and portfolio management, to be deployed and integrated with Taliance, enabling clients to model equity and debt investments, provide waterfall distribution reporting and gain valuable insights into risks and opportunities to maximize investor returns; and
- Expands the Company’s position in Europe and provides a foundation for growth in the fund management segment of the market globally.
“The acquisition of Taliance broadens our global asset and portfolio management offerings, while immediately increasing our market share in Europe. By combining the best-in-class capabilities of ARGUS with Taliance, we’re able to provide clients globally with a compelling end-to-end solution for managing performance at any level – asset, investment, fund and investor,” said Robert Courteau, Chief Executive Officer of Altus Group. “With a proven track record and solid industry reputation, we’re pleased to welcome Taliance’s impressive team to Altus Group.”
Taliance provides cloud-based collaborative business solutions to alternative investment firms globally allowing them to improve their modelling, forecasting and risk management processes in real time. Taliance’s clients include firms who invest directly or indirectly in all forms of alternative investment asset classes, including real estate, private equity, debt and infrastructure. Based in Paris, Taliance also has offices in London and New York. Its team of 27 professionals, including its founder and CEO Guillaume Fiastre, will be integrated into the Company’s Altus Analytics software and data division, strengthening global sales and development resources.
“We are excited to be joining Altus Group – together we will bring greater value to clients around the world,” said Guillaume Fiastre, Chief Executive Officer of Taliance. “Commercial real estate firms and investors are faced with a growing level of complexity around investment and fund management. The combined capabilities of both Taliance and ARGUS Enterprise provide a comprehensive global asset and investment management platform in one solution.”
Altus Group paid a total of €20.0 million (approximately C$31.0 million) in cash and common shares. On closing, €17.8 million (approximately C$27.6 million) was drawn from the revolving term facility and €2.2 million (approximately C$3.4 million) of common shares were issued from treasury. On a TTM basis, the revenue multiple at the time of acquisition is approximately 4.3x. The acquisition is expected to positively contribute to Adjusted EBITDA in early 2019.