- General
- October 20, 2020
- 3 minutes read
Billtrust Eyes Reverse Listing
Billtrust, a B2B payments company, has announced that it’s clinched a deal to become a publicly-traded company by merging with South…
Billtrust, a B2B payments company, has announced that it’s clinched a deal to become a publicly-traded company by merging with South Mountain Merger Corporation, a publicly traded special purpose acquisition company. The merger is expected to add $450 million to Billtrust’s balance sheet, consisting of $250 million in funding already secured by South Mountain Merger Corporation and an additional $200 million to be raised from investors including Fidelity, Franklin Templeton, and Wellington Management.
The merger is expected to give Billtrust an initial valuation of $1.5 billion on the public markets.
Billtrust is looking to go public after nearly two decades as a private company, wherein it’s raised $115 million in funding from a group of investors including notable names like Goldman Sachs, Bain Capital Ventures, and Riverwood Capital.
Billtrust is a business-to-business (B2B) payments company that facilitates services like credit monitoring, invoice delivery, and cash applications and collections for enterprises. The company expects to earn $161 million in revenue next year.
With the proceeds from its merger, Billtrust intends to pay down existing debt and keep the rest in a move that’ll leave the company debt-free and with a cash balance of $200 million. The merger is expected to be completed in early 2021.
