Exclusive Priority Software acquiring SilverByte for around $35 million
Priority Software acquiring SilverByte for around $35 million
SilverByte’s hotel management software provides features and functions required to keep the daily work of hotels simple and swift
Four years after the death of Avi Moscona, Calcalist has learned that his heirs are selling the software company he co-founded, SilverByte, for NIS 120 million (approximately $35 million) to Priority Software. Priority Software is owned by global growth private equity firm TA Associates and Israeli private equity firm Fortissimo Capital.
SilverByte was founded in 1992, but its hotel management software product was launched six years later. The company's solution is installed in hotel groups such as the Dan Hotels, Leonardo Hotels, Fattal Hotels, Crowne Plaza Hotels, Holiday Inn hotels, and many more. The product, named Optima, provides hotels with features and functions required to keep the daily work simple and swift. The company is active in over 30 countries and is believed to be profitable, with an annual growth rate of 10-20%.
SilverByte employs around 80 people and is headed by Einav Peleg, who will continue to run the company after the acquisition, assuming it is approved by the Israel Competition Authority.
Priority is set to make its fifth acquisition over the past 16 months, spending a total of NIS 400 million (approximately $115 million).
Priority, renamed by Fortissimo following its acquisition of Eshbel in 2013 for NIS 192 million ($55.5 million), provides end-to-end cloud-based (SaaS) and on-premise business management solutions for organizations of all sizes to improve business efficiency and the customer experience. The company’s Priority PRO product provides comprehensive ERP software for medium to large organizations encompassing demand planning, manufacturing operations, financial management, human capital management, procurement, and supply chain management. Priority also provides business management software for smaller companies that focuses on financial management, reporting, and accounting. The company has more than 10,000 customers and over 300,000 end-users across multiple end markets, including manufacturing, construction, healthcare and pharma, services, and retail and wholesale. Priority has more than 500 employees located across five offices in Israel, the U.S., the UK, and Belgium.
Fortissimo sold 50% in Priority to TA Associates at the end of 2020 at a valuation of $250 million.