SirsiDynix, has been acquired by Harris Computing, one of six operating companies of Constellation Software, Inc, a publicly traded company based in Toronto. It purchased SirsiDynix from ICV Partners, a private equity firm that has owned it since February 2015. Unlike private equity firms, Constellation does not sell the companies it acquires. It follows a strategy of acquiring businesses from founders or investors and holding them indefinitely.
The acquisition marks a definitive exit from ongoing cycles of private equity investment into a permanent position within a public company specializing in the administration of technology-focused businesses. SirsiDynix has seen two rounds of private equity ownership, including Vista Equity Partners (2006-2015) and ICV Partners (2015-2024).
As part of Harris, SirsiDynix gains access to additional technical and financial resources. Harris has deep experience in acquiring and strengthening technology companies. In contrast, SirsiDynix was the only technology company within the ICV Partners portfolio.
Details of the Acquisition
Through this acquisition, Harris gains full ownership of SirsiDynix from ICV Partners and all other minority investors. The board of directors representing the incumbent investors has been disbanded in favor of oversight by Harris business advisors.
The long-term commitment inherent in Constellation's acquisition strategy reflects SirsiDynix's position as a major competitor in the library technology industry with potential for long-term stability and potential for growth.
The transaction closed on December 24, 2024. Terms of the acquisition have not been publicly disclosed.
An exit from Private Equity
The buy-and-hold strategy followed by Constellation differs from that of private equity firms that typically offload their investments after a limited period, often in the three-to-ten-year range. ICV had owned SirsiDynix for ten years. Private equity ownership by its nature concentrates more on short-term profitability than on long-term business development.
Many private equity acquisitions are leveraged buyouts backed by loans from investment banks that much be repaid by the acquired company. Emphasis on debt reduction, aggressive profitability targets, and the necessity to exit the investment at the highest possible financial valuation can mean constrained resources available for product development and longer-term business strategies.
Under ICV, SirsiDynix reflected these constraints. The BLUEcloud suite, announced in 2013, aimed to provide a comprehensive set of Web-based interfaces for Symphony and Horizon. As late as 2023, though many BLUEcloud modules had been delivered and were not yet able to fully replace the native clients of the Symphony and Horizon. In 2024, with additional funding provided by ICV, SirsiDynix launched BLUEcloud Accelerate, an initiative to rapidly complete the development of the BLUEcloud suite. The initial component of this initiative focused on BLUEcloud Mobile2, a redevelopment of the mobile app that was disrupted through a business dispute with SOLUS, the original partner that SirsiDynix engaged for its development.
SirsiDynix CEO Bill Davison and Harris Computing CEO Jean Soucy emphasize that SirsiDynix will continue without disruption. The transition will be transparent to the libraries using its products with no changes to sales and support arrangements. The executive management team and workforce will remain in place. All development efforts, especially the accelerated BLUEcloud development process initiated last year will continue. All its products will continue to be developed and supported as before. Its new ownership will bring additional stability and clarity to the company as it moves from the cyclical nature of private equity into a permanent member of the CSI business environment.
About SirsiDynix
SirsiDynix has become established as the largest standalone library technology company, continually expanding over its 40-year business history. The company has developed important library technology products which have been implemented by libraries across many global regions. It has also expanded through the acquisition of competitors, many of which have seen their own cycles of mergers and acquisitions. SirsiDynix traces its business history through Sirsi Corporation, Dynix, Data Research Associates, and several other companies each with their own interesting narratives. At least fourteen antecedent companies are represented in its corporate lineage.
SirsiDynix employs about 360 personnel. It offers three ILS products, Symphony, Horizon and EOS.Web. It launched the BLUEcloud suite in 2013 to provide web-based interfaces and efficient new workflows for Horizon and Symphony.
The leadership team headed by Bill Davison as Chief Executive Officer has remained in place since 2011. Eric Keith advanced to Chief Marketing Officer in 2016. Berit Nelson, a key product executive since the acquisition of DRA by Sirsi Corporation, served as Chief Product Officer through her recent retirement in December 2024. Mike Nehren has served as Chief Financial Officer since 2011.
See the SirsiDynix profile on Library Technology Guides.
A detailed history of SirsiDynix is provided in a separate article.
About ICV Partners
ICV Partners was founded in 1998 under the name Inner City Ventures as a minority-owned private investment company. The company operates as a certified Minority Business Enterprise. ICV acquired SirsiDynix through a transaction that closed on December 31, 2014. Subsequent to the sale that has now been completed to Harris, ICV has no further involvement with SirsiDynix.
More Information
About Harris Computing
Harris Computing, founded by Nigel Harris in 1976, has acquired over 200 businesses spanning multiple industries including public sector, health care, utilities, as well as other private companies. Its companies are located throughout North America, Europe, Asia, and Australia. Harris Computing became part of Constellation Software, Inc. in 1996.
Jean Soucy was named as Chief Executive Officer Harris Computing in May 2024, following a tenure as the President of the Harris Public Sector group.
About Constellation Software, Inc.
Constellation Software, Inc. was founded in 1995 and has been a publicly traded company since May 2006. Based in Toronto, Constellation holds a diverse portfolio of companies that do business in more than 100 countries and more than 50,000 employees. In 2023, Constellation reported $8.4 billion (Canadian) revenue. Constellation has acquired more than 500 companies organized into six operating groups, each with a slightly different focus, including Volaris Group, Harris Computer Systems, Jonas, Vela Software, Perseus Group, and Total Specific Solutions.
Constellation Software, Inc. is traded on the Toronto Stock Exchange and has seen steady increases in its stock price, now trading at around $3,000 per share.
Constellation retains its portfolio companies indefinitely, investing in companies with strong, long-term prospects. The company focuses its investments on businesses offering software and services for diverse vertical markets. For some of these verticals, Constellation will make follow-on investments to expand its geographic reach or to expand into complementary products. Its portfolio companies usually retain their management teams and other personnel. The strategic and financial oversight given by Constellation for one of its operating groups replaces that carried out through a Board of Directors of a standalone company. Its portfolio companies benefit from access to capital and other resources needed to fulfill development initiatives or to expand marketing reach. Portfolio companies are guided by best practices for operations and marketing established by Constellation and its operating groups. This approach emphasizes long-term success rather than short-term financial returns.
Involvement in the Library Technology Industry
Constellation Software, Inc, has previously acquired several companies in the library technology industry through its operating companies.
- Softlink International was acquired by Volaris Group in September 2013. Softlink offers the Oliver ILS for Schools and the Liberty ILS for special and academic libraries. Softlink has also developed the illumin research management system.
- Jaywil Software Development, which develops the ResourceMate integrated library system for smaller libraries was acquired by Harris Computing in April 2017.
More Information - Primasoft Informática, founded in 1993, was acquired by Volaris Group in 2018. Its core products include the SophiA library automation system widely used in Brazil, with a presence in Spain and other countries, and Philos for school libraries. Although Prima does not have a presence in the US, it is a midsized library technology company for Portuguese- and Spanish-speaking countries. The company has about 140 employees and its products are used in more than 3,500 institutions globally.
More information - BiblioCommons, a Toronto-based company providing a suite of applications and interfaces for public libraries, was acquired by Volaris Group in February 2020. BiblioCommons has become established as a major force in the public library sector, and its products have been implemented by an impressive list of libraries and consortia in the United States, Canada, Australia, and New Zealand. BiblioCommons was previously privately owned by cofounders Beth Jefferson and Patrick Kennedy.
More information. - EnvisionWare, one of the major companies providing RFID, self-service, and related products and services to libraries was acquired by Volaris Group in July 2021.
More information - Baratz, a Madrid-based library technology company, was acquired by Total Specific Solutions in June 2021. Baratz was founded in 1987 by Juan Beitia to develop and commercialize online database systems. The company's AbsysNet integrated library system has been implemented by most public libraries in Spain and has a presence in other European countries and in Latin America.
