As per the terms of the deal, shareholders of the California-based business spend management firm will be paid $81 per share by Thoma Bravo and following the closing of the deal, Coupa Software will no longer have its common stock publicly listed


Cloud-based BSM platform Coupa Software to be acquired by Thoma Bravo. (Credit: Gerd Altmann from Pixabay)

Software investment firm Thoma Bravo has signed a definitive agreement with US-based business spend management (BSM) platform Coupa Software to acquire the latter in an all-cash deal worth $8bn.

As per the terms of the agreement, shareholders of the California-based publicly-listed firm will be paid $81 per share in cash by Thoma Bravo.

The all-cash deal includes a minority investment from a subsidiary of Abu Dhabi Investment Authority (ADIA).

Following the closing of the deal, Coupa Software will become a privately held company.

Coupa Software’s cloud-based BSM platform combines the processes across supply chain, finance, and procurement functions.

The company is said to empower organisations in maximising value and operationalising purpose through their business spend.

Coupa Software chairman and CEO Rob Bernshteyn said: “For more than a decade, we’ve been building an incredible Business Spend Management Community and have proudly cemented our position as the market-leading platform in our category.

“We’re looking forward to partnering with Thoma Bravo and accelerating our vision to digitally transform the Office of the CFO. While our ownership may change, our values do not. Every one of us at Coupa will continue to put our customers at the center of everything we do and help them maximize the value of every dollar they spend.”

The consideration from Thoma Bravo represents a 77% premium to Coupa Software’s closing stock price on 22 November 2022.

Thoma Bravo managing partner Holden Spaht said: “Coupa has created and led the large and growing Business Spend Management category. We’ve followed the company’s success for many years and have been impressed by its consistent track record of delivering high levels of value for its global customer base.

“We look forward to partnering with Rob and the rest of the management team to keep investing in the company’s product strategy while driving growth both organically and through M&A.”

The deal, which is subject to approval by Coupa Software’s shareholders, regulatory approvals, and other customary conditions, is expected to close in the first half of 2023.

In October 2022, Thoma Bravo, along with Sunstone Partners, agreed to acquire UserTesting, a US-based on-demand human insight platform, in an all-cash deal worth nearly $1.3bn.