Robert Smith's firm sells Apptio to IBM, doubling initial investment

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Billionaire Robert Smith's firm sells software maker for $4.6 billion, doubling its initial investment

Billionaire investor Robert Smith's private equity firm has doubled its money after striking a deal this week to sell a software maker.Monday that it had agreed to sell Apptio to IBM for $4.6 billion.

That's a return of 142% on the $1.9 billion that Vista spent acquiring the Bellevue, WA-based software company in 2019. IBM said in a separate statement that it will use cash on hand to fund the deal, which it expects to complete in the second half of 2023. Vista, which is known for buying out software companies, has made $18 billion cashing out its bets since November 2021, according to its statement released Monday.

The deal with IBM could also mark a personal win for Smith, who's battling to show his investors that the company has moved on from his admission of tax evasion.

 

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