Permira has sold its minority stake in German HR software provider Personal & Informatik (P&I) to existing shareholder Hg, in a deal that values the company at €5.5bn.

The exit has delivered a 5.1x multiple of money return and generated more than €2bn in proceeds for Permira, following its initial investment in 2016.

The recapitalisation increases Hg’s majority shareholding in P&I. The company’s founders and management team remain invested in the business.

Founded in 1968, P&I operates a cloud platform focused on automating HR processes, including payroll, time and workforce management, recruiting, and talent management.

Hg first invested in P&I in 2013, acquiring a 91.85% stake from The Carlyle Group at an enterprise value of approximately €400m. The deal was the first from HgCapital 7, a fund which closed on £2bn that same year.

In 2016, Permira acquired a majority stake in P&I through its Permira V fund, which had closed on €5.3bn in 2014. That transaction marked the first realisation from HgCapital 7, delivering a 2.3x investment multiple and a 36% IRR for Hg, which retained a €70m minority stake.

In 2019, Hg reacquired majority control of P&I in a transaction that valued the company at €2bn. Permira remained invested. That deal marked the fourth investment from Hg Saturn 1, a €1.5bn fund focused on software businesses with enterprise values over £1bn.

P&I has since expanded its operations, including opening an R&D centre in Greece and launching its SaaS platform LogaHR. The company’s revenue now exceeds €300m, following 20% growth in the past year, and it employs more than 500 people.

The most recent deal was made from Hg Saturn 4. Hg described P&I as “a compelling investment opportunity through its integrated SaaS platform for payroll and HR, with strong metrics, operational scalability, AI-driven pricing opportunities via LogaHR+.”