Private Equity Acquires Grant Platform Fluxx

Private equity firms have finalized the acquisition of Fluxx, a grantmaking platform for private and public organizations based in San Francisco, Calif. Terms of the deal were not disclosed.

The private equity firms involved are a syndicate led by Metamorph Partners, a private equity firm that specializes in B2B SaaS businesses and co-investor ABS Capital Partners, a growth equity firm that has been investing in software and tech-enabled services businesses for more than 30 years.

Fluxx serves 10 of the 20 largest foundations in the U.S. and helps more than 300 foundations and government organizations track and evaluate more than $13 billion in grants each year.

“We believe the acquisition of market-leading Fluxx combined with our operational know-how will be the key to unlock the next phase of growth and further Fluxx’s strategy to drive global impact,” Metamorph Managing Partner Bob Tinker said.

“We are thrilled to join Metamorph to invest in Fluxx,” said ABS Capital General Partner Paul Mariani. “Fluxx has a compelling value proposition for foundations and other grantmaking institutions, and we are committed to helping them scale and expand their product offering under the leadership of CEO Kristy Gannon,” he said via a press release announcing the acquisition.

Kristy Gannon took over as the Fluxx’s chief executive officer in 2020. She joined the Fluxx team as the vice president of product in 2012, then transitioned to the role of chief product officer and chief operating officer prior to stepping into the role of CEO. With the acquisition, Gannon joins the company’s board of directors, along with Tinker, who was elected executive chair, and Mariani. Former Fluxx CEO Madeline Duva also retains a seat on the board.

Using a proprietary data migration tool, Fluxx has moved more than 100 customers away from competing products, without budget pressure as new customers do not pay subscription fees until their legacy contract has expired, according to an announcement by the firm.