Koch to invest over $2 billion in Infor

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Koch Equity Development (KED), the investment and acquisition subsidiary of Koch Industries, has agreed to make an investment of more than $2 billion in Infor, a cloud-based specialist provider of business applications.

The investment will provide Infor access to additional growth capital to accelerate innovation, expand distribution, and continue disrupting the enterprise applications industry. It is said to help Infor enter into a large ecosystem of businesses contemplating digital transformation.

Infor claims to be the first company to move mission critical industry applications to the cloud, and now counts more than 66 million users of its cloud applications. The company’s double digit revenue growth in its most recent quarter was fueled by a 130% annual increase in SaaS revenue; more than half of Infor’s software revenues are now derived from cloud applications.

Infor’s unique cloud strategy uses Amazon Web Services, enabling the company to invest in deep industry functionality with capital that would otherwise be needed to maintain its own data centre infrastructure. Infor’s broad set of applications running on a hyper-scale cloud with cutting-edge data science and design provide a foundation for modernising companies in healthcare, fashion, retail, distribution, public sector, and discrete and process manufacturing.

“Koch is one of the largest private companies in the world with diversified holdings and immense resources to support the next exciting phase of growth at Infor and we are thrilled to have their support,” said Charles Phillips, CEO of Infor. “Some of the largest companies in the world have approached Infor looking for a modern alternative to the legacy options available for mission critical business applications. Infor has the scale and capital to provide a digital platform for the Global 5000.”

Under Phillips’ leadership, Infor invested approximately $2 billion in product design and development over the last five years and delivered more than 400 new products, 1,700 integrations, and 16,000 industry features in its CloudSuite product line. Infor now has 15,000 employees and operates in more than 170 countries.

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