OMERS buys Inmar for about $1.5bn

OMERS Private Equity, the private equity investment arm of the Canadian pension plan, purchased the analytics and technology-enabled service provider and plans to help it grow over the long haul.

OMERS Private Equity, the private equity arm of the Canadian defined benefit pension plan OMERS, has purchased technology and data science company Inmar from ABRY Partners.

ABRY will retain a stake in the company.

Although terms of the transactions were not disclosed, a source familiar with the matter told Private Equity International that the purchase price was between $1 billion and $2 billion.

Winston-Salem, North Carolina-based Inmar focuses on several business lines, including acting as an intermediary on coupon redemption and settlement. It also focuses on supply chain management for recalls and on healthcare benefits.

Michael Graham, head of North America and senior managing director at OMERS Private Equity, told Private Equity International that the company is in a good position to continue its growth, thanks to a strong management team and OMERS' stance as a long-term investor.

Unlike traditional private equity firms, OMERS Private Equity can hold investments for longer durations.

The transaction is expected to close in the second quarter.

OMERS, the pension plan for municipal employees in Ontario, has more than C$85 billion ($63.3 billion; €59.45m billion) in net assets as of 31 December. OMERS Private Equity along with Borealis Infrastructure form OMERS Private Markets, which invests globally in private equity and infrastructure.

Including externally managed funds and direct investing, OMERS Private Equity provided a net return of 12.6 percent in 2016, up from 10 percent in 2015.

It has C$11.7 billion in private equity assets, or 13.6 percent of total assets, as of 31 December.