SUSE partners with growth investor EQT

Having enjoyed seven years of continuous expansion, SUSE is set to be acquired from Micro Focus by EQT, which is a development-focused investor with extensive experience in the software industry. Under Micro Focus ownership and with their investment and support, SUSE has developed as a business, cementing its position as a leading provider of enterprise-grade, open source software-defined infrastructure and application delivery solutions.

In a partnership with EQT, SUSE expects to be equipped to further exploit the excellent market opportunity both in the Linux operating system area as well as in emerging product groups in the open source space. Under the continued leadership of SUSE CEO Nils Brauckmann, SUSE will move to the next stage of its corporate evolution and operate globally as an independent company post-completion of the transaction. To ensure continuity, the SUSE business expects staffing, customer relationships, partnerships, product and service offering, commitment to open source leadership and support for the key open source communities to remain unchanged.

“Today is an exciting day in SUSE’s history. By partnering with EQT, we will become a fully independent business,” said Nils Brauckmann, SUSE CEO. “The next chapter in SUSE’s development will continue, and even accelerate the momentum generated over recent years. Together with EQT we will benefit both from further investment opportunities and having the continuity of a leadership team focused on securing long-term profitable growth combined with a sharp focus on customer and partner success. The current leadership team has managed SUSE through a period of significant growth, and now, with continued investment in technology innovation and go to market capability, will further develop SUSE’s momentum going forward.”

Johannes Reichel, partner at EQT Partners and Investment Advisor to EQT VIII, added, “We are excited to partner with SUSE’s management in this attractive growth investment opportunity. We were impressed by the business’ strong performance over recent years as well as its strong culture and heritage as a pioneer in the open source space. These characteristics correspond well to EQT’s DNA of supporting and building strong and resilient companies, and driving growth. We look forward to entering the next period of growth and innovation together with SUSE.”

Market and SUSE potential

SUSE expects to be well positioned to further realise its potential with backing from EQT to fuel its momentum and build on the progress made under Micro Focus.

SUSE believes the acquisition is well timed as the market driven need for digital transformation, built on open source software-defined infrastructure (SDI) and application delivery technologies, is increasing. Organisations are invariably increasing their focus on open source technologies and solutions to transform their businesses.

With its heritage in open source software, strong brand and array of market leading software-defined infrastructure and application delivery solutions, SUSE is ideally positioned to capitalise on this market dynamic, creating tremendous value for customers and partners.

Further investment and support will enable SUSE’s continued expansion and advance innovation to drive growth in SUSE’s core business as well as in emerging technologies, both organically and through add-on acquisitions. This investment is a recognition of SUSE’s value and potential and EQT’s belief in the strength of its culture, leadership and existing strategy.

Stability and continuity

SUSE intends to continue to deliver and innovate based on current and future market requirements, operating with its current mission, vision and strategy. The current leadership team led by SUSE CEO Nils Brauckmann will remain and will continue to focus on the success of customers and partners with a deeply rooted commitment to and engagement with open source communities and projects. Given the relationship-centric nature of the industry retaining the leadership team that has created rapid growth for the past seven years holds significant business value to customers, partners and open source communities.

In keeping with its 25 year history, SUSE intends to remain committed to an open source development and business model and actively participate in communities and projects to bring open source innovation to the enterprise as high quality, reliable and usable solutions. This truly open, open source model, where open refers to the freedom of choice provided to customers and not just our code, is embedded in SUSE’s culture, differentiates it in the market place and has been key to its success.

SUSE and EQT intend for SUSE’s strong leadership, focus on customer success and ability to partner successfully to remain in place as SUSE enters this next evolution of the business.