CD&R Buys Majority Stake in San Antonio’s Sirius Computer Solutions
San Antonio—New York investment firm Clayton, Dubilier & Rice (CD&R) has acquired a majority stake in Sirius Computer Solutions, which provides a variety of security, cloud, and various other IT services to customers, typically offering products from companies it partners with, such as IBM or Cisco.
Terms of the acquisition price weren’t disclosed. Sirius has $3.5 billion in annual gross sales, according to a news release (that may include the cost of goods it sells on behalf of the companies it partners with, not just Sirius’s portion). The San Antonio-based company’s former majority owner, Kelso & Co., is exiting Sirius with the CD&R deal.
Kelso acquired its stake in 2015 from the company’s founder, Harvey Najium, and Thoma Bravo, which bought into Sirius in 2006. Its revenue was estimated at $1.6 billion in 2015, according to a news release. Sirius was founded in 1980 and now has more than 2,700 employees. With the CD&R investment, partner Russ Fradin, who is the former president and CEO of SunGard Data Systems, is becoming chairman of the Sirius board of directors. Joe Mertens is staying on as the company’s president and CEO.