US-based Tradeshift made the offer, backed by a group of US and Chinese investors, last month, the people said, asking not to be identified because the discussions are private. Basware confirmed it was evaluating a proposal without naming the bidder after Bloomberg News reported it was weighing a sale.
Tradeshift may offer a premium to Basware’s average share price over the last 12 months, which is about EUR 38 a share, the people said, declining to disclose the exact offer price. The average premium on software deals this year is about 34% and was 23% in 2017, according to data compiled by Bloomberg.
Shares of Basware, which is backed by hedge fund Arrowgrass Capital Partners, have surged about 47%, giving the company a market value of about EUR 490 million (USD 561 million). The company makes software that helps businesses manage expenses, run analytics on sales and expenses, issue invoices and procure supplies.
Tradeshift raised USD 250 million in 2018 from investors including Goldman Sachs Group Inc. and Public Sector Pension Investment Board, valuing the company at USD 1.1 billion. Envisioned as an open business platform, the company’s technology helps companies connect with suppliers and make and receive payments faster, according to Tradeshift’s website. It also offers blockchain-based payments where businesses can use the technology to sell unpaid invoices to investors.
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