€15bn AI Software Firm IFS Attracts Major Sovereign Wealth Investors

Global tech group with London HQ gains backing from Abu Dhabi, Singapore and Canada

IFS, a rapidly growing software company with deep roots in industrial sectors, is drawing in some of the world’s biggest sovereign wealth funds as it continues its expansion into artificial intelligence (AI).

The €15 billion (£12.5 billion) enterprise software firm, which has its operational headquarters in London, is in advanced talks with Abu Dhabi Investment Authority (ADIA), Temasek (Singapore), and the Canada Pension Plan Investment Board (CPPIB) to join its investor base.

Deal Nearing Completion

According to City sources, a deal is close to being finalised, with a formal announcement expected early next month.

This transaction is part of a secondary share sale—meaning no new shares are being issued. Instead, current private equity owners are reshuffling stakes:

• EQT Partners and TA Associates are reducing their holdings
• Hg Capital is increasing its stake

The deal values IFS at €15bn, reinforcing its position as a top-tier player in enterprise AI solutions.

A Strategic Move by Global Investment Giants

The involvement of heavyweight investors like ADIA, Temasek, and CPPIB reflects growing interest in software firms with strong recurring revenues and AI capabilities.

The shift towards industrial AI has only just begun, and investors are keen to secure exposure to firms leading this transformation. IFS’s growth and strategy have clearly caught their attention.

Arma Partners, a tech-focused investment bank, is advising on the deal.

What Does IFS Actually Do?

IFS builds software for industries that “service, power and protect the planet” — including energy, aviation, manufacturing, and infrastructure. Its client list includes major names like:

• EOn
• Comcast
• Rolls-Royce Power Systems
• Molson Coors
• Homeserve

It generated over €1 billion in annual recurring revenue last year and is fast gaining ground on legacy tech giants like SAP, IBM, and Oracle.

An AI-Driven Growth Story

IFS markets itself as the global leader in Industrial AI, offering targeted solutions under its IFS.ai platform.

Chief Executive Mark Moffat said:

“No other vendor understands our customers’ industries as well as IFS. We continue to outperform legacy software vendors who have not kept pace with the speed of change.”

From Tent to Tech Titan

IFS’s journey began in 1983, when five university graduates set up a tent outside a client’s office to be available 24/7. From those humble beginnings, it has evolved into a major force in the global software market.

Today, IFS is outpacing competitors by embracing AI and focusing on real-world industries.

Conclusion: Smart Backing for a Smarter Future

With sovereign funds now lining up to invest, IFS has cemented its reputation as a future-facing enterprise software leader. Its focus on AI, strong recurring revenues, and strategic industry presence make it an attractive option for long-term investors.

As global demand for intelligent industrial software accelerates, IFS looks well-positioned to lead — and deliver value not just for its clients, but also for its new heavyweight backers.

Sources: Sky.com. ChatGPT)