NetApp Selling Some Software Assets to Thoma Bravo’s Flexera

(Bloomberg) — NetApp Inc. has agreed to sell a portfolio of cloud software assets it acquired in recent years to Thoma Bravo-backed Flexera, according to people familiar with the matter.

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The deal is valued at about $100 million and includes some businesses from NetApp’s acquisitions of startups Spot and CloudCheckr, the people said, asking not to be identified because the matter is private.

An agreement is expected to be announced Wednesday, they added.

Representatives for NetApp, Thoma Bravo and Flexera declined to comment.

The sale comes as companies in a broad range of industries increasingly seek to unload assets to streamline and better focus on their core operations. Global asset sales rose 26% in 2024, to about $555 billion, according to data compiled by Bloomberg.

Private equity firms, sitting on record levels of dry powder, are attracted to corporate carve-outs as a way to put money to work.

Spot and CloudCheckr make tools used by software developers to help them track the cost of using different cloud services. NetApp acquired Spot in 2020 and CloudCheckr in 2021 for amounts that weren’t disclosed.

Israel’s Calcalist reported the Spot acquisition was worth $450 million at the time.

NetApp, whose shares have gained 35% in the past year, closed up 1.5% to $116.69 in New York trading Tuesday, giving the company a market value of about $24 billion.

Private equity firm Thoma Bravo bought a majority stake in Flexera in 2020. TA Associates and Ontario Teachers’ Pension Plan Board also own stakes, according to an earlier statement.

–With assistance from Brody Ford.