SAP, which owns a majority stake in the customer experience management company, has agreed to sell its stake for $7.7 billion, but will continue to operate as a Qualtrics' technology and go-to-market strategic partner, servicing joint customers. Credit: ipopba / Getty Images Customer experience management company Qualtrics on Monday said private equity firm Silver Lake and Canada Pension Plan Investment Board (CPP Investments) have agreed to buy the entire company for $12.5 billion in an all-cash transaction. CPP Investments, according to a joint statement, will pay $1.75 billion in equity and another $1 billion in debt for the deal. US-based Silver Lake, which already owns a 4% stake in the company, along with CPP Investments will acquire 100% of the outstanding shares in Qualtrics, including the entirety of ERP software provider SAP’s majority stake, the companies said. “Qualtrics will become an independent, privately held company,” Qualtrics said, adding that it will continue to remain headquartered in Provo, Utah, and Seattle, Washington, with CEO Zig Serafin at the helm. SAP acquired a majority stake in Qualtrics in 2018 for $8 billion with the idea of marrying customer experience management with ERP software systems. By doing this amalgamation of real-time customer experience data with operational data, enterprises would be able to make adjustments to business strategies to perform better against their competition in their respective segments and domain. In January, SAP said it is also exploring selling its majority stake in Qualtrics to refocus on its core business. However, despite selling off its entire stake, SAP said it will continue to remain a technology and strategic partner, with the company servicing joint customers. The acquisition of Qualtrics by the investment firms, which is expected to close in the second half of 2023, will see SAP garner approximately $7.7 billion for its stake in Qualtrics, the ERP software provider said in a statement. “Since we acquired Qualtrics in 2019 the company has more than tripled its revenue while delivering profitability,” said SAP CEO Christian Klein. “SAP intends to remain a close go-to-market and technology partner, servicing joint customers and continuing to contribute to Qualtrics’s success. The number of companies and brands using Qualtrics software has risen from 10,000 at the time of SAP’s purchase to over 18,000 today.” Related content feature 4 remedies to avoid cloud app migration headaches The compelling benefits of using proprietary cloud-native services come at a price: vendor lock-in. Here are ways CIOs can effectively plan without getting stuck. By Robert Mitchell Nov 29, 2023 9 mins CIO Managed Service Providers Managed IT Services case study Steps Gerresheimer takes to transform its IT CIO Zafer Nalbant explains what the medical packaging manufacturer does to modernize its IT through AI, automation, and hybrid cloud. By Jens Dose Nov 29, 2023 6 mins CIO SAP ServiceNow feature Per Scholas redefines IT hiring by diversifying the IT talent pipeline What started as a technology reclamation nonprofit has since transformed into a robust, tuition-free training program that seeks to redefine how companies fill tech skills gaps with rising talent. By Sarah K. White Nov 29, 2023 11 mins Diversity and Inclusion Diversity and Inclusion Hiring news Saudi Arabia will host the World Expo 2030 in Riyadh By Andrea Benito Nov 28, 2023 4 mins Podcasts Videos Resources Events SUBSCRIBE TO OUR NEWSLETTER From our editors straight to your inbox Get started by entering your email address below. Please enter a valid email address Subscribe