Francisco Partners to buy SaaS analytics platform Sumo Logic for $1.7bn

American private equity firm Francisco Partners, through its affiliates, will acquire Sumo Logic, a SaaS analytics platform, in an all-cash transaction valued at around $1.7 billion.

Post-closing, Sumo Logic will become a private company and cease to trade on any public market.

Sumo Logic anticipates to expand its market opportunity, innovate its solutions, accelerate growth, and further its vision through the transaction.

Ramin Sayar — Sumo Logic President and CEO said: “Since founding Sumo Logic in 2010, we have created a trusted, cloud-native, SaaS analytics platform for observability and security, enabling our customers to transform complexity into insights and accelerate their cloud transformation adoption.

“We are delighted at the prospect of partnering with Francisco Partners in the next phase of Sumo Logic’s journey.”

Francisco Partners to acquire SaaS analytics platform Sumo Logic for $1.7bn. Photo courtesy of Raysonho @ Open Grid Scheduler / Grid Engine /Wikimedia Commons.

Sumo Logic, through its SaaS analytics platform, allows customers to deliver reliable and secure cloud-native applications.

The Sumo Logic Continuous Intelligence Platform is said to help practitioners and developers ensure application reliability, secure and protect against modern security threats, and gain insights into their cloud infrastructures.

Brian Decker and Evan Daar — Partners at Francisco Partners, said: “Sumo Logic is ideally positioned to capitalize on the large and growing demand from enterprises for observability and security solutions.

“Its leading, cloud-native, analytics platform provides the scalability and insights required as applications and data proliferate in today’s digital world.

“We look forward to partnering with Sumo Logic to drive accelerated growth and continue its long heritage of product innovation.”

Morgan Stanley & Co is acting as financial advisor to Sumo Logic, and Wilson Sonsini Goodrich & Rosati, Professional Corporation is serving as legal counsel in connection with this transaction.

Subject to customary closing conditions, the close of the acquisition is anticipated in the second quarter of 2023.

With around $45 billion in capital raised to date, Francisco Partners has invested in more than 400 technology companies.