Dive Brief:
- Finance software provider OneStream said Tuesday that it has agreed to be acquired by Hg, an investor in software and data businesses, for $6.4 billion.
- The transaction, which is expected to close in the first half of the year, will result in OneStream becoming a privately held company. It comes less than two years after the software provider, which offers an artificial intelligence-enabled platform designed to modernize the office of the CFO, was taken public by the investment firm KKR.
- “Through this partnership, we are able to significantly advance our AI-first go-to-market strategy and expand our Finance AI capabilities at a rapid pace,” OneStream CEO Tom Shea said in a press release.
Dive Insight:
Birmingham, Michigan-based OneStream is one of many vendors competing in the worldwide “office of the CFO software market,” which is expected to grow from $71 billion in 2023 to $131 billion in 2028, according to global investment bank Carlsquare.
Besides OneStream, other major players in the market include Oracle, Workday and SAP.
It’s an increasingly crowded market with a flood of new startups added in recent years, Sean Jacobsohn, a partner at venture capital firm Norwest Venture Partners, told CFO Dive last year.
“We’re seeing a surge in AI-powered tools that can automate tasks and augment decision-making with precision and speed across various finance functions, from tax and treasury management to procurement,” he said.
OneStream, for its part, says it’s focused on providing a single, comprehensive platform unifying core functions overseen by CFOs, including financial close, consolidation, reporting, planning and forecasting.
“Today marks a pivotal moment for OneStream and our vision to be the operating system for modern Finance," Shea said in the Tuesday release. “The Office of the CFO is at a critical AI inflection point, and we believe OneStream is well positioned for this shift.”
The company has over 1,700 customers, including 18% of Fortune 500 firms, as well as 1,600 employees, the release said. After the deal is closed, Shea will continue to serve as CEO, and the current leadership team will remain in place, it said.
Demand for finance software tools has remained high despite challenges in the broader macroeconomic environment such as uncertainty around President Donald Trump’s shifting tariff policies, Shea said early last year.
The software maker posted $154.3 million in total revenues for its 2025 third quarter, an increase of 19% compared with the year-earlier period, according to results released in November. During Q3, the company reported a narrower net loss of $11.49 million, compared to a net loss of $249.3 million in the year-earlier period.
The company plans to announce its fourth quarter and full fiscal year 2025 results in February, but does not expect to hold a corresponding conference call in light of the pending acquisition deal, according to the Tuesday release.
The transaction is subject to required regulatory approvals and other customary closing conditions, OneStream said. The deal was unanimously approved by the company’s board of directors and also cleared by KKR, in its capacity as the holder of a majority of OneStream's voting power, the release said.
No further approval of OneStream's stockholders is required, it said.
