Thomson Reuters has partnered with global asset management firm TPG to sell a majority stake in Elite, its legal financial and practice management solutions suite, for around $500m. Upon closing of the deal, Elite will become an independent company with a renewed focus on improving law firms' finance and accounting operations. TPG Capital, TPG's US and European late-stage private equity business, will become the majority shareholder, while Thomson Reuters will retain a minority stake and board representation to support Elite strategically going forward. The sale will provide Elite with additional resources and expertise to accelerate its growth and better support law firms as they adapt to meet the evolving needs of their clients.
Elite offers a suite of solutions, led by its flagship offering 3E, as well as ProLaw, eBillingHub, and MatterSphere, aimed at improving law firm finance and accounting operations, including billing, invoicing, payments, and financial reporting. The company provides financial and practice management solutions to leading law firms and has become a trusted technology partner for the legal industry. Elite will continue to maintain existing integrations with Thomson Reuters products.
TPG sees the legal industry as one that is undergoing digital transformation and believes that Elite is well-positioned to take advantage of this trend. TPG has a history of investing in software companies that cater to specific industries, and it considers Elite a clear leader in the legal tech space. Elite's significant growth potential, strong customer base, and trusted technology were key factors in TPG's decision to acquire the majority stake.
Thomson Reuters, a leading provider of business information services, including information-enabled software and tools for legal, tax, accounting, and compliance professionals, remains committed to providing its expertise and experience to help grow Elite. The company plans to dedicate greater focus and investment in content-enabled technology, such as AI and automated workflow solutions, to better enable customers in the practice of law and to perform their work more efficiently.
The transaction is expected to close in the second quarter of 2023, subject to regulatory approvals and closing conditions.
Key points:
- Thomson Reuters has partnered with TPG to sell a majority stake in Elite for around $500m
- TPG Capital will become the majority shareholder, while Thomson Reuters will retain a minority stake and board representation
- Elite will become an independent company with a renewed focus on improving law firms' finance and accounting operations
- Elite offers a suite of solutions, including its flagship offering 3E, aimed at improving law firm finance and accounting operations
- TPG believes that the legal industry is undergoing digital transformation and considers Elite a clear leader in the legal tech space
- Thomson Reuters remains committed to providing its expertise and experience to help grow Elite
- The transaction is expected to close in Q2 2023, subject to regulatory approvals and closing conditions.
