Hellman & Friedman’s $1.15 Billion Acquisition Of Checkmarx

Simpson Thacher represented Hellman & Friedman in the transaction, while Willkie Farr & Gallagher represented Insight Partners. Ropes & Gray advised TPG in the transaction.

Hellman & Friedman (“H&F”) completed the proposed acquisition of Checkmarx Ltd. (“Checkmarx”) from Insight Partners (“Insight”) at a valuation of $1.15 billion.

TPG has partnered with Hellman & Friedman and will hold a minority interest in Checkmarx with Insight Partners. TPG has invested in a number of high-growth cybersecurity businesses and will bring additional expertise to the Company as it continues its rapid pace of growth.

The deal represents the largest acquisition of an application security company to date. The transaction is subject to completion of customary closing conditions. Insight Partners will continue to own a substantial minority interest in Checkmarx.

Checkmarx is the global leader in software security solutions for modern enterprise software development. Checkmarx delivers a software security platform that unifies with DevOps and provides static and interactive application security testing, software composition analysis, and developer AppSec awareness and training programs to reduce and remediate risk from software vulnerabilities.

Founded in 1984, Hellman & Friedman is a leading private equity firm focused on market-leading firms with growth potential. H&F has offices in San Francisco, New York and London.

Incubated in a family office, started and headquartered in Fort Worth and San Francisco, TPG now has more than $119 billion under management with investment and operational teams in 17 offices around the world.

Insight Partners is a leading global venture capital and private equity firm investing in high-growth technology and software companies that are driving transformative change in their industries.

The Simpson Thacher team representing Hellman & Friedman includes Kathryn King Sudol (Picture), Atif Azher, Naveed Anwar, Usman Arain, Mark Myott, Sherry Shen, Megan Whitman and Estell Lee (M&A); David Rubinsky, Jeannine McSweeney, Joo Hyun Lee and Emily Manns (ECEB); Marcela Robledo and Corina McIntyre (IP); Katharine Moir, Tyler Robbins and Zachary Fialkow (Tax); Brian Steinhardt and Matthew Farrell (Finance); and Timothy Mulvihill (Environmental).

Willkie represented Insight Partners as lead counsel in the transaction with a team led by partners Morgan Elwyn, Rosalind Kruse and Ziyad Aziz.

The Ropes & Gray team that advised TPG was led by private equity partners Jason Freedman (San Francisco), Alexander Zeltser (New York) and Michael Roh (Boston), and included tax partners Benjamin Rogers (San Francisco) and Elaine Murphy (Boston), litigation & enforcement partners Maria Calvet and Michael McFalls (Washington D.C.), strategic transactions partner Edward Black, benefits partner Loretta Richard, and private equity counsel Anthony Bernard (all of Boston).

Involved fees earner: Anthony Bernard – Ropes & Gray; Edward Black – Ropes & Gray; Jason Freedman – Ropes & Gray; María González Calvet – Ropes & Gray; Michael McFalls – Ropes & Gray; Elaine Murphy – Ropes & Gray; Loretta Richard – Ropes & Gray; Benjamin Rogers – Ropes & Gray; Michael Roh – Ropes & Gray; Alexander Zeltser – Ropes & Gray; Naveed Anwar – Simpson Thacher & Bartlett; Usman Arain – Simpson Thacher & Bartlett; Atif Azher – Simpson Thacher & Bartlett; Jung Eun Lee – Simpson Thacher & Bartlett; Matthew Farrell – Simpson Thacher & Bartlett; Zachary Fialkow – Simpson Thacher & Bartlett; Kathryn King Sudol – Simpson Thacher & Bartlett; Joo Hyun Lee – Simpson Thacher & Bartlett; Emily Manns – Simpson Thacher & Bartlett; Corina McIntyre – Simpson Thacher & Bartlett; Jeannine McSweeney – Simpson Thacher & Bartlett; Katharine Moir – Simpson Thacher & Bartlett; Timothy Mulvihill – Simpson Thacher & Bartlett; Mark Myott – Simpson Thacher & Bartlett; Tyler Robbins – Simpson Thacher & Bartlett; Marcela Robledo – Simpson Thacher & Bartlett; David Rubinsky – Simpson Thacher & Bartlett; Sherry Shen – Simpson Thacher & Bartlett; Brian Steinhardt – Simpson Thacher & Bartlett; Megan Whitman – Simpson Thacher & Bartlett; Ziyad Aziz – Willkie Farr & Gallagher; Morgan Elwyn – Willkie Farr & Gallagher; Rosalind Fahey Kruse – Willkie Farr & Gallagher;

Law Firms: Ropes & Gray; Simpson Thacher & Bartlett; Willkie Farr & Gallagher;

Clients: Hellman & Friedman; Insight Partners; TPG Capital;

Author: Michael Patrini