Houlihan Lokey Advises IRIS Software Group
Houlihan Lokey is pleased to announce that IRIS Software Group (IRIS), a leading global provider of accountancy, education management, HR, and payroll solutions, has acquired Dext Software (Dext), a leading bookkeeping automation platform provider. This transaction closed on December 23, 2024.
The acquisition unites two sector-leading cloud-based platforms—Dext’s Bookkeeping Automation Platform and IRIS Elements—to deliver a complementary and fully integrated, end-to-end solution for accountants, bookkeepers, and businesses. It also creates an integrated, end-to-end solution, advances partner integrations, and drives product innovation for accountants and businesses globally.
On one side of the accounting value chain, IRIS Elements supports accountants and businesses with practice management and compliance functionality, such as accounts production and tax returns. On the other, Dext simplifies bookkeeping and improves productivity by automating routine tasks with AI. Together, both companies will cover the entire end-to-end accountancy workflow, from data entry and processing to compliance, reporting, and advisory services.
Through integration, IRIS and Dext’s cloud platforms will connect seamlessly with a secure single sign-on (SSO) and share data effortlessly back and forth across both platforms. This will effectively create a single, end-to-end view of the entire accountancy workflow. By expanding the global digital footprint in countries like the U.K., Canada, France, and Australia, the acquisition will also help accountants stay ahead of rapidly evolving global regulatory and compliance requirements.
The transaction allows IRIS to accelerate Dext’s product roadmap, infuse additional capital, and enhance its partner integration programme, which already connects to more than 35 bookkeeping software platforms and over 11,500 banks and financial institutions. Both IRIS and Dext share a general ledger agnostic strategy, ensuring their platforms can integrate with a wide array of accounting software and every bookkeeping provider—connecting multiple workflow streams and providing customers with unparalleled freedom of choice.
IRIS is a portfolio company of Leonard Green & Partners, Hg, and ICG. Prior to completion of this transaction, Dext was a portfolio company of Hg and Insight Partners.
Houlihan Lokey served as the exclusive financial advisor to IRIS and its shareholders. The transaction highlights Houlihan Lokey’s expertise in the office of the CFO software and business management software subsectors.
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