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Bottomline Technologies Agrees To $2.6B Sale to Thoma Bravo – Report

Bottomline Technologies (EPAY) has struck a deal to be acquired by Thoma Bravo. Bloomberg reports that the all-cash deal values the payments firm at $2.6 billion. EPAY shares jumped 14.74% to close at $56.13 on December 17.

Bottomline Technologies specializes in enabling electronic payments and transactions between businesses, vendors, and banks. It also operates a Cloud Solutions segment that offers customers Software-as-a-Service technology that enables electronic payments invoicing and spend management. Bottomline Technologies’ earnings report for Q4 2021 is scheduled for February 10, 2022.

Acquisition Agreement

Under the terms of the agreement, holders of Bottomline Technologies stock are to receive $57 a share. The $57 a share payment is 17% above Bottomline Technologies’ closing price on November 16, 2021, and 42% above the closing price on October 19, 2021, when the company announced the formation of a strategic committee.

Bottomline Technologies engaged the services of Deutsche Bank AG (DB) as the financial adviser of the deal, while Bank of America (BAC) advised Thoma Bravo.

The acquisition comes at a time when the digital transformation of businesses is accelerating. The acquisition of Bottomline Technologies presents a unique opportunity for Thoma Bravo to capitalize on its unique position in the large and growing B2B payments markets.

Private equity firms and large payment processors are increasingly hunting for large deals as they seek to strengthen their competitive edge amid the digital revolution.

Smart Score

EPAY scores a “Perfect 10” on TipRanks’ Smart Score rating system, indicating that the stock has strong potential to outperform market expectations.

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