Berlin, Germany (January 25, 2021)—Native Instruments (NI) and EMH Partners have announced an agreement to sell the majority shares of NI to leading technology-specialized investment firm Francisco Partners.
In 2017, EMH Partners invested 50 million Euros in Native Instruments, which was founded in Berlin in 1996, followed by a further investment in 2020 to achieve majority ownership in the company. In August 2020, NI announced a new leadership team, marking a fresh chapter in the company’s 25-year history.
NI’s management and board, together with EMH, have developed the company significantly and expanded its position in the industry. Specifically, monthly active users more than doubled — to 1.5m — by the end of 2020, and industry partners on NI’s technology platforms increased by 60%. Further, revenues from NI’s music creation tools have increased by 60% since the investment in 2017.
Following the new agreement, both EMH Partners and the founding shareholders will remain involved with NI as significant minority shareholders.
Constantin Koehncke, CEO of Native Instruments, says, “There’s never been a more exciting time in music, with more creators producing more high-quality music all around the world. We’re thrilled to team up with Francisco Partners to enter the next phase of our journey, combining their global resources and expertise with our passionate team, deep relationships within music and proven track record of technical innovation. Together we can realize our mission to empower and inspire the global community of music creators and help them to unlock their creative potential.”
Matt Spetzler, co-head Europe and partner at Francisco Partners, who will join NI’s board of directors, adds, “As an innovator in digital music creation, with a supreme brand recognition and outstanding software technology, Native Instruments is a perfect platform and partner for Francisco Partners. We look forward to working together with the management team and the existing shareholder group, utilizing our broad operational and strategic experience and M&A capabilities to help the company accelerate its growth trajectory.”
Native Instruments • www.native-instruments.com
Francisco Partners • www.franciscopartners.com
EMH Partners • www.emh.com