Thoma Bravo purchased Software known as Coupa for $6.15 billion in the tech recession

Thoma Bravo purchased Software known as Coupa for $6.15 billion in the tech recession

December 14, 2022: -On Monday, Coupa Software said it would market to private-equity major Thoma Bravo for $6.15 billion in money, which calls the deal the “optimal path forward” as more general financial uncertainty hammers technology is storing.

Information of the deal has been sending Coupa’s shares up 27% in premarket trade following a more than 60% decrease in the year.

Coupa will be getting $81 for each share beneath the deal, 30.5% higher than the closing level and 77.2% above November 22, when takeover interest in the company was first stated.

Increased inflation, weak consumer demand and the Ukraine crisis have hit global stocks, with the tech sector being from the worst reach. That has is permissible for PE firms to buy high-growth software companies at decreased valuations.

Concerning the previous two years, Thoma Bravo has acquired Ping Identity, Proofpoint and Sailpoint Technologies.

“The transaction exists giving superior risk-adjusted value relative to the company’s standalone prospects,” Roger Siboni, an independent director at the software company, stated.

The all-cash agreement, which has an enterprise value of $8 billion, includes an investment from an affiliate of the sovereign wealth fund Abu Dhabi Investment Authority.

This month, Coupa investor HMI Capital added that it would support a potential deal for over $95 per share for the business. It did not respond to a Reuters statement seeking analysis.

Bloomberg News reported last month that Vista Equity Partners was curious about the company.

Coupa Software, going public in 2016, provides business-spend management software, which lets companies manage purchasing goods and services.

Qatalyst Partners and Freshfields Bruckhaus Deringer counselled Coupa, while Goldman Sachs & Co, Piper Sandler, and Kirkland & Ellis were advisors to Thoma Bravo.

Coupa reported a 17% upgrade in total revenue for the quarter that ended October 31 and a net failure of $84.1 million.

Editor's Choice

Posts You Might Like

Teaching Value & Integrity | Steve Jani

The Fort McMurray First Nation Group of Companies is the wholly owned business entity of Fort McMurray 468 First Nation. It was established in 1987 as Christina River Enterprises, and the organization rebranded as FMFN Group in 2021. Providing Construction, Custodial, Petro-Canada Fuel & Convenience Store, and Transportation services to a broad portfolio of customers, the Group of Companies is creating financial stability and prosperity for the Nation.

A Resilient & Innovative Leader | Maushum Basu

Maushum Basu is a visionary leader who inspires his team with a clear, compelling purpose. Unafraid to take calculated risks, he understands that growth often stems from change and innovation. His deep commitment to both Airia Brands, Inc.

Directing with Courage & Precision | Martin Paquette

When speaking with Martin Paquette, one thing is immediately apparent: he’s honest. His transparency is refreshing. While many shy away from such vulnerability, Paquette sees it as a force to reckon with. The incredible emotional intelligence speaks to years of looking within—it’s also what allows him to acknowledge his mistakes gracefully and use them as opportunities to innovate.

An Innovative Thinker | Marina Charriere

Marina Charriere, CEO of Star Drug Testing Services, Star Drug Testing Services (Windsor Park), and First Defence Face Masks go hand in hand. Star is a drug and alcohol testing facility, and First D F M is a face mask company.

The-corporate-magazine-15

Leave us a message

Subscribe

Fill the form our team will contact you

Advertise with us

Fill the form our team will contact you​