Intuit Sells FundWare
MOUNTAIN VIEW, (Calif.) — Intuit Inc. has reached an agreement to sell its Intuit Public Sector Solutions (IPSS) division to San Diego-based Kintera for an estimated $11 million in cash. The agreement comes about three months after the tax and accounting software developer announced it was seeking to divest itself of its nonprofit-focused software development arm, formerly known as American Fundware, which is based in Greenwood Village, Colo. The sale is expected to close by January 31, 2005, pending shareholder and regulatory approvals.
Citing lack of sales growth since it acquired American Fundware in 2002, Intuit announced last summer that it would put the division up for sale. Intuit engaged the San Francisco-based merchant banker Seven Hills Partners to assist in the search for a suitor for IPSS.
Kintera announced that it plans to integrate FundWare into its Sphere platform, with an initial release due out in the first quarter of 2005. The company said that it plans to continue to enhance and support FundWare 7.30 for individual installations, as well as for Kintera’s software as a service application. Sphere will continue to integrate with other accounting programs.
On the web: www.Intuit.com