Qualtrics plans new debt financing for buyout by Silver Lake and CPP

By Sara Rosenberg

New York, March 13 – Qualtrics has received a commitment for debt financing to help fund its acquisition by Silver Lake and Canada Pension Plan Investment Board, according to an 8-K filed with the Securities and Exchange Commission on Monday.

More specifically, the transaction is fully financed by equity commitments from Silver Lake and co-investors together with $1.75 billion in equity from CPP Investments and $1 billion in debt.

Under the agreement, Silver Lake and its co-investors, together with CPP Investments, will acquire 100% of the outstanding shares Silver Lake does not already own, including the entirety of SAP’s majority ownership interest for $18.15 per share in cash. The transaction values Qualtrics at about $12.5 billion.

Closing is expected in the second half of this year, subject to customary conditions, including the receipt of the regulatory approvals.

JPMorgan acted as financial adviser with regard to the transaction and to the debt financing to Silver Lake. Morgan Stanley & Co. LLC acted as financial adviser to Qualtrics. Barclays Capital Inc. acted as financial adviser to SAP SE. And, Goldman Sachs & Co. LLC acted as financial adviser to a Qualtrics’ committee of independent directors.

Qualtrics, based in Provo, Utah, and Seattle, is a cloud-native software provider that helps organizations identify and resolve points of friction across all digital and human touchpoints in their business.

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