New York based IT firm, Infor, announced on the 23rd of January a massive $1.5 billion investment from Koch Equity Development, LLC (KED) their existing shareholder and Golden Gate Capital. Building on KED’s investment of more than $2 billion in early 2017, this investment represents an important milestone. It is momentous because Infor will be considering a potential IPO IN 2019 OR 2020 – subject to market conditions – according to a statement issued by them.
According to Charles Philip, the CEO of Infor, “Koch and Golden Gate Capital have been phenomenal partners for Infor, and all of our 17,300 employees are excited about this milestone as we prepare for the next stage of growth.”
Under Phillips’ leadership, over the last 5 years, Infor has invested a whopping $2.5 billion in product design and development delivering more than 1,870 integrations, 475 new products, and 20,700 industry features in its CloudSuite product line.
Today, Infor CloudSuite is the only fully multi-talent ERP suite that spans front and back office applications along with logistics that have global support.
Jim Hannan, the Koch Executive Vice President and CEO of Enterprises for Koch Industries, Inc. stated that Koch has been an Infor customer before they became company investors. They continue to move their most vital applications to Infor CloudSuites.
With more than $3 billion in revenue for their 2018 fiscal year, Infor has become the first company to move essential ERP app suites to public clouds for entire industries. For more than 9,500 customers in 110 countries, Infor’s CloudSuites have become the foundation for digital transformation. Their applications span financials, supply chain, human resources, manufacturing, and customer relationships.
Over the past 5 years, 70% of Infor’s software license revenue has been derived from cloud applications and Infor has been able to consistently gain market share in cloud applications. Infor’s ability to engineer each CloudSuite for each specific industry is fundamental to their strategy.
After moving to CloudSuite, customers routinely lower costs by 25% or more by
- Retiring mods
- Eliminating big bang upgrades
- Reducing infrastructure costs
Infor has expanded their presence in key industries like manufacturing, healthcare, hospitality, the public sector, and retail. Their applications are run by over 72% of all US hospitals along with 19 of the top 20 automotive suppliers and 8 of the top fashion brands.
Infor CloudSuite is now future proofed for innovation. Using commodity compute and storage on demand, Infor applications are able to run on public scale clouds and open source infrastructure that isn’t tied to a single data store and even scale out at lower costs.
Founded in 2002, Infor is now a global leader in business cloud software which is specialized by industry. They operate through license, maintenance, and consulting segments offering enterprise software for ERP, CRM, HRM, performance management, financial management, and supply chain management.