Willkie Advises Brazil’s Folhamatic Group in Acquisition Agreement by UK-Based Sage Group

June 21, 2012

Sage Group plc enters into an agreement to acquire a controlling interest in Folhamatic Group, a leading Brazil-based tax and accounting software company, for expected consideration of £125 million ($196 million).

On June 20, UK-based Sage Group plc announced that it had entered into an agreement to acquire a controlling interest in Willkie client Folhamatic Group, a leading provider of accounting, tax and payroll, and regulatory content software in Brazil, for expected consideration of about £125 million ($196 million). The total consideration for 75% of the equity equates to an enterprise value for 100% of the business, including estimated net debt at closing of £191 million.

In June 2011, Willkie represented Insight Venture Partners in connection with its acquisition of a majority interest in Folhamatic, and in November 2011 assisted Folhamatic in its acquisition of Brazilian tax and regulatory publisher IOB Informações Objetivas Publicações Jurídicas.

The current deal was handled by partners Gordon Caplan and Rosalind Fahey Kruse; Latin American counsel Maria-Leticia Ossa Daza; and associates Matthew Guercio and Ruchi Patel.