Bigtincan Receives a $300 Million Takeover Offer From Private Equity Firm SQN Investors

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Bigtincan Holdings Ltd. (BTH.AX), an Australian industry-leading sales enablement solutions company, announced on December 2 that it had received a takeover offer valued at A$441.9 million ($300.62 million) from private equity advisor SQN Investors.

Following the A$0.80 per share offer, Bigtincan shares soared up to 14.7 per cent to their highest level over three months. This price represents a 17.6 per cent premium over Thursday’s stock closing price.

SQN has indicated that it aims to “fund the Indicative Proposal by a combination of equity by SQN and its affiliates and possibly debt financing, although it does not currently have binding commitments.” 

In addition, the private equity advisor is interested in 74,940,121 shares, roughly 13.6 per cent of BTH’s issued share capital. Since October 2021, Mr Farouk Hussein, a partner of SQN, has served as a director of Bigtincan.

To assess and react to the Indicative Proposal, the Bigtincan Board has created the Independent Board Committee (IBC), which is made up of its present independent non-executive directors, Chief Executive Officer, and Executive Director, David Keane.

If the deal is approved, Bigtincan said they would “join a small group of Australian software companies that have recently agreed to be acquired by private equity groups.”

However, Bigtincan has advised its shareholders to hold off on taking any action for the time being because it has been in informal discussions with other parties who may be interested in a prospective purchase arrangement.

According to Bigtincan, SQN Investors, which owns a 13.6 per cent stake in the software company that uses artificial intelligence, plans to finance the acquisition through a combination of equity and potential debt financing.

The recent takeover offer from private equity firm SQN Investors is an excellent opportunity for Bigtincan to capitalise on its leading position in the market and continue to grow its business. 

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