Aareal Bank and Advent International to Sell Aareon to TPG for €3.9 Billion

Aareal Bank AG and Advent International have agreed to sell Aareon, a provider of SaaS solutions for the property industry, to TPG and CDPQ for approximately €3.9 billion. This transaction will result in Aareon becoming an independent company, with TPG as the majority owner and CDPQ as a minority co-investor.

The deal is expected to close in the second half of 2024, subject to customary conditions and approvals. The sale will result in a significant gain for Aareal Bank Group, estimated at around €2 billion after transaction-related costs. Most costs, amounting to approximately €150 million, will be recognized in Q2 2024.

Jochen Klösges, CEO of Aareal Bank, expressed confidence in the new owners' ability to drive Aareon’s growth. TPG and CDPQ bring extensive resources and expertise that will aid in the company’s further evolution. Aareal Bank will continue its collaboration with Aareon post-transaction through their joint venture, First Financial Software.

Flavio Porciani of TPG highlighted Aareon’s leading position in the digital property management sector and the growing need for integrated solutions. TPG aims to leverage Aareon’s platform to enhance connectivity and streamline operations in real estate management.

This agreement marks a pivotal moment for Aareon as it continues to innovate within the European housing ecosystem, driven by new and existing stakeholders’ support.