Bulletin: SaaS firm Beanworks to be acquired by Quadient for $104.5 million
Beanworks saw 70% year-over-year revenue growth in 2020 and is expected to achieve revenue of roughly $10.4 million CAD at the end of 2021.
Vancouver’s Beanworks will be acquired by Quadient in a deal worth about $104.5 million CAD.
Beanworks develops an accounts payable automation software that enables teams to approve invoices and pay vendors remotely while reducing costs.
The company was founded in 2012 and has 800 customers that process more than nearly $18 billion CAD a year through the platform. Beanworks saw 70% year-over-year revenue growth in 2020 and is expected to achieve revenue of roughly $10.4 million CAD at the end of 2021. The company has approximately 90 employees, and to date, had raised approximately $12.3 million in funding, according to Crunchbase.
In highlighting the potential growth in Beanwork’s core market, Quadient noted in a statement that, “The global market for accounts payable (AP) automation is growing rapidly, accelerated by the global pandemic and the increasing number of teams working from home, driving businesses of all sizes to reflect on the benefits of digitalizing their financial processes and shifting to electronic payments. Adroit Market Research anticipates the AP automation market will reach $4 billion by 2025.”
Beanworks is the latest in a string of Vancouver exits to foreign buyers in the past few months, including Galvanize’s sale to Diligent and Next Level Games’ sale to Nintendo, among other transactions.
Per Beanworks CEO Catherine Dahl:
We are excited to join the Quadient team. Empowering accounting teams to succeed is what we do at Beanworks, and now with Quadient we will continue to bring our passion for all things AP globally making Beanworks the essential tool for the world's accounting teams. I could not be prouder of the team’s success in being a market leader in AP automation. Our customers have come to rely on us as an indispensable part of their accounting workflow. By combining our expertise with Quadient’s global reach, R&D firepower and investments in Artificial Intelligence (AI) technology, we will continue to live out our mission to support accounting teams everywhere.
At the closing of the transaction, which is anticipated to occur on March 23, 2021, Quadient will own a majority stake of c. 96% in Beanworks, with two key leaders retaining a minority equity stake.
Quadient has a mechanism to increase its ownership up to 100% in the coming years. The acquisition will be financed entirely in cash, without recourse to additional debt.