Enterprise software investment firm Thoma Bravo is moving into the digital infrastructure space, making an investment in SDC Capital Partners.

Thoma Bravo this week announced a strategic minority investment in SDC Capital Partners, a digital infrastructure investment firm. Terms of the deal weren’t shared.

Thoma Bravo will fund the transaction from its balance sheet.

Founded in 2017, SDC has made investments across the data center, fiber, wireless, and cloud-services infrastructure markets. The firm has completed more than 25 investments across North America, South America, and Europe, with some $7.8 billion of assets under management. Its current and previous investments include Sentinel Data Centers, Latin American operators Ascenty and OData, a number of fiber firms, and Arcadia Towers.

"Thoma Bravo is one of the world's most admired investment firms and shares our view on the benefits of a sector-focused and operationally oriented approach," said Todd Aaron, founder and managing partner of SDC. "Their portfolio provides them a unique, front-line perspective on the opportunities and challenges of digital infrastructure and the implications of AI and cloud computing. We look forward to leveraging their expertise as we continue to grow our platform, drive greater value for our investors, and build the digital infrastructure that underpins the global economy."

Founded in 2008, Chicago-based Thoma Bravo is a private equity firm with some $160 billion in assets under management. It has made more than 400 deals and has more than 70 companies in its portfolio. The firm is best known for investing in enterprise software startups, including Riverbed, Anaplan, Coupa, Everbridge, Barracuda Networks, Imperva, Sophos, Darktrace, and others.

"We see firsthand how the rapid growth in AI, cloud computing, and advanced technologies is driving unprecedented demand for secure, scalable, and resilient digital infrastructure," said Holden Spaht, a managing partner at Thoma Bravo. "Todd has been a leading operator and investor in digital infrastructure for the last 25 years, and SDC's disciplined asset selection and operational model have delivered for their investors. We see tremendous opportunities in this space and are excited to see SDC accelerate the digital transformation of the global economy."

Piper Sandler served as the exclusive financial advisor, and Kirkland & Ellis LLP served as legal counsel to Thoma Bravo. Houlihan Lokey served as financial advisor and Kirkland & Ellis LLP served as legal counsel to SDC Capital Partners.