Thomson Reuters and TPG to Establish Elite as an Independent Legal Tech Company
Today Thomson Reuters and TPG announced that they have signed a definitive agreement for TPG to acquire a majority stake in Elite from Thomson Reuters. The investment will bring resources and focus to the legal financial and practice management business, enabling law firms to digitally transform and thrive.
Legal Current is sharing details about the partnership, which will support Elite’s next phase of growth.
The transaction will enable Elite to operate with greater focus, providing additional resources and expertise to accelerate growth and better support its customers as they digitally transform to meet the evolving needs of their clients. The Elite suite of solutions, led by 3E along with ProLaw, eBillingHub, and MatterSphere, will maintain existing integrations with Thomson Reuters products.
Upon closing of the transaction, TPG Capital, TPG’s U.S. and European late-stage private equity business, will become the majority shareholder of the standalone business. Thomson Reuters will retain a minority ownership stake in the business and have board representation, supporting Elite strategically going forward.
“We feel strongly that the new investment from TPG, along with Thomson Reuters minority ownership and board representation, will position Elite to ensure our customers’ continued success,” said Paul Fischer, president of the Legal Professionals business of Thomson Reuters. “We remain committed to providing our expertise and experience to help grow Elite while dedicating greater focus and investment in the area of content-enabled technology, including AI and automated workflow solutions, to better enable customers in the practice of law and to perform their work more efficiently.”
“TPG has a history of investing in software companies that address the unique needs of vertical markets. We believe the legal industry is a market that is undergoing digital transformation, and Elite partners with leading firms on that journey,” said Tim Millikin, partner at TPG. “Elite’s trusted technology, strong customer base, and significant growth potential has made the company a clear leader among the best law firms, and we look forward to working with the team to enhance and expand the platform.”
Closing of the transaction is subject to specified regulatory approvals and customary closing conditions and is anticipated to occur in the second quarter of 2023. For more details, read the press release.