SAP, which owns a majority stake in the customer experience management company, has agreed to sell its stake for $7.7 billion, but will continue to operate as a Qualtrics' technology and go-to-market strategic partner, servicing joint customers. Credit: ipopba / Getty Images Customer experience management company Qualtrics on Monday said private equity firm Silver Lake and Canada Pension Plan Investment Board (CPP Investments) have agreed to buy the entire company for $12.5 billion in an all-cash transaction. CPP Investments, according to a joint statement, will pay $1.75 billion in equity and another $1 billion in debt for the deal. US-based Silver Lake, which already owns a 4% stake in the company, along with CPP Investments will acquire 100% of the outstanding shares in Qualtrics, including the entirety of ERP software provider SAP’s majority stake, the companies said. “Qualtrics will become an independent, privately held company,” Qualtrics said, adding that it will continue to remain headquartered in Provo, Utah, and Seattle, Washington, with CEO Zig Serafin at the helm. SAP acquired a majority stake in Qualtrics in 2018 for $8 billion with the idea of marrying customer experience management with ERP software systems. By doing this amalgamation of real-time customer experience data with operational data, enterprises would be able to make adjustments to business strategies to perform better against their competition in their respective segments and domain. In January, SAP said it is also exploring selling its majority stake in Qualtrics to refocus on its core business. However, despite selling off its entire stake, SAP said it will continue to remain a technology and strategic partner, with the company servicing joint customers. The acquisition of Qualtrics by the investment firms, which is expected to close in the second half of 2023, will see SAP garner approximately $7.7 billion for its stake in Qualtrics, the ERP software provider said in a statement. “Since we acquired Qualtrics in 2019 the company has more than tripled its revenue while delivering profitability,” said SAP CEO Christian Klein. “SAP intends to remain a close go-to-market and technology partner, servicing joint customers and continuing to contribute to Qualtrics’s success. The number of companies and brands using Qualtrics software has risen from 10,000 at the time of SAP’s purchase to over 18,000 today.” Related content news US lawmakers advance bill to close loopholes in AI export controls The law seeks to fill a gap in the Bureau of Industry and Security’s (BIS) mandate regarding AI systems, where it lacks clear legal authority. By Prasanth Aby Thomas May 23, 2024 4 mins Regulation Artificial Intelligence feature 10 most powerful ERP vendors today The Big 3 continue to differentiate themselves with broad ERP offerings, but the race to capitalize on AI enhancements and cater to industry-specific needs is having broad market impact. By Neal Weinberg May 23, 2024 13 mins Technology Industry ERP Systems case study Getinge’s digital transformation shows scaling and adapting in equal measure As Swedish medical technology company Getinge increasingly digitizes its products and adjusts to evolving global regulations, more demands are put on the company’s internal data environment. Here, CIO Pelle Nilsson explains how he and his team By Karin Lindström May 23, 2024 6 mins CIO Regulation Healthcare Industry feature From IT leader to tech spinoff CEO: How to win a CIO-plus role Associa CIO Andrew Brock expanded his C-suite mandate by parlaying his IT purview to helm proptech spinoff HOAM Ventures. Here’s his advice on doing the same. By Michael Bertha May 23, 2024 6 mins CIO Business IT Alignment IT Leadership PODCASTS VIDEOS RESOURCES EVENTS SUBSCRIBE TO OUR NEWSLETTER From our editors straight to your inbox Get started by entering your email address below. Please enter a valid email address Subscribe