GLA& Co: Silver Lake acquires €2.2B majority stake in Software AG 

GLA & Co acted as GCC counsel in Silver Lake’s substantial acquisition of a majority stake in Germany’s Software AG through a successful voluntary public tender offer. The acquisition, valued at €2.2 billion, solidifies Silver Lake’s position in the technology sector and marks an important development in the business landscape. 

Specifically, GLA & Co worked in close collaboration with international legal experts to secure the essential merger control clearance from the Kuwait Competition Protection Agency. This clearance was a crucial step in enabling Silver Lake to acquire an 85.1% stake in Software AG, which subsequently benefits Software AG shareholders as they receive the offer price of EUR 32.00 for each tendered share. 

The merger control clearance in Kuwait was obtained within two months from the submission of the economic concentration application. The transaction was led by Julian Awwad (Legal Director, pictured), with assistance from Asad Ahmad (Senior Associate), Fahad Al Baijan (Associate), and Khaled Al Makhezeem (Associate). 

Silver Lake, the driving force behind this acquisition, is a prominent global private equity firm with a strong focus on technology and related industries. With a history dating back to 1999, Silver Lake stands as one of the foremost technology investors worldwide, with headquarters in Silicon Valley and offices in New York, London, and Hong Kong. 

In contrast, Software AG, a well-established German multinational software corporation, specializes in developing enterprise software solutions catering to business process management, integration, and big data analytics. Founded in 1969 and headquartered in Darmstadt, Germany, Software AG has a significant global presence, serving over 10,000 enterprise customers in more than 70 countries. This impressive reach solidifies Software AG’s standing as the second-largest software vendor in Germany and the seventh largest in Europe. 

Alex Saleh, Managing Partner of GLA & Co, stated that “regardless of where the global mergers and acquisitions are taking place, we have seen that the international community is increasingly coming to GLA & Co with respect to any MENA and GCC aspects of the deal.  We have been able to earn the trust of our partners and colleagues across the world in such a short time.” 

Nader Al Awadhi, Senior Partner, added that “the firm has been actively engaged on the topic of merger control, from holding various webinars to publishing many articles, including contributing to the Chambers and Partners Global Practice Guide of Merger Control for Kuwait, Qatar, Saudi Arabia, and the UAE.” 

The successful collaboration between Silver Lake, Software AG, and GLA & Co in obtaining GCC-focused merger control clearance marks an exciting development in the technology and software industry, fostering growth, innovation, and global expansion in the sector.