Talks progressing on proposed acquisition of pensions software specialist

An Altrincham software specialist is in the sights of one of the world’s biggest institutional investors as part of a deal estimated to be worth £350m.

Aquila Heywood is a pensions software provider.

Reports claim a deal could be announced next week by BlackRock’s Long Term Private Capital (LTPC) private equity vehicle.

LTPC is reported to be in advanced talks to buy Aquila Heywood, based in Church Street, Altrincham.

The company was formed in 2002 by the merger of two separate businesses. In November 2018, multinational specialist technology outsourcer Equiniti acquired Aquila Group Holdings Limited from Aquila Heywood.

Aquila is a life and pensions technology provider for pension schemes and large insurance companies. Its proprietary platform ‘Administrator’ supports propositions in workplace savings, bulk purchase annuities and heritage transformation.

The proposed deal would see the existing management team – led by chief executive Andy Ross – remaining in place.

Mr Ross said: “We are very pleased to have the opportunity to form a strategic partnership with BlackRock’s long-term private capital.

“Through this relationship, we can increase the value we provide to our customers by making more strategic investments in software and technology platforms and growing highly skilled teams.

“BlackRock LTPC is an ideal partner given a sustainable and long-term approach, and we look forward to working closely in the next phase of growth.”

Dag Skattum, head of European office, Long Term Private Capital, said: “It is a privilege to be partnering with the management team of Aquila Heywood to continue to grow this market-leading and differentiated business.

“LTPC focuses on partnerships with best-in-class businesses and uses a longer-term investment duration and a prudent approach to capital structure in an effort to generate sustainable growth across our portfolio on behalf of our investors.

“We see great potential in the strategy, product offering and leadership team driving Aquila Heywood and we look forward to a long and fruitful partnership.”

If the deal goes ahead it will be the third acquisition made by the LPTC fund, which closed an initial public offering last month after raising nearly $3.5bn.

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