Was tech’s ‘bull run’ simply a temporary surge?

Maybe compliance tech really is a good startup bet

German software company EQS Group is being taken private by Thoma Bravo for about €400 million ($435.1 million) in a deal that represents a massive 53% premium over its pre-announcement value. Shares of EQS are up just under 52% today, implying that the market expects the deal to complete, and at the listed price.

The Exchange explores startups, markets and money.

Read it every morning on TechCrunch+ or get The Exchange newsletter every Saturday.

We care about a relatively small PE take-private of a software company that —be honest — you had not heard of until this deal was announced because of the why behind the transaction, and what it could mean for quite a number of startups operating in the regulatory technology (regtech) market.

Briefly, EQS Group is a public company that sells compliance and investor relations software. In the third quarter of 2023, EQS reported 14% revenue growth (year-over-year) to €16.88 million, the addition of €3.00 million worth of new ARR (+50%), and adjusted EBITDA of €2.32 million (+49%). EQS is therefore not massive. In fact, it’s a relatively small company compared to most public software concerns.

Source link

bitcoin bull run Previous post Bitcoin Bulls Are Back! Latest Signal Confirms Bullish Trend is Brewing
How to ensure an ethical acquisition for your startup | TechCrunch Next post How to ensure an ethical acquisition for your startup | TechCrunch