Bill.com, a provider of cloud-based software that simplifies, digitizes, and automates complex back-office financial operations for small and midsize businesses, has entered into a definitive agreement to acquire Divvy in a stock and cash transaction valued at approximately $2.5 billion. Divvy a spend management provider that combines expense management software and smart corporate cards into a single platform.
“Since founding Bill.com, I have been driven by the desire to build solutions that make a real difference for small and mid-sized businesses,” said René Lacerte, Bill.com CEO and founder. “Customers have been asking us to help them with their spend management, and I am excited that together with Divvy, we can deliver on that ask, furthering our vision to transform SMB financial operations. Our expanded platform will provide more automation and real-time information to SMBs, enabling them to make more informed decisions. We are excited to work with the talented Divvy team. We have a shared passion for helping SMBs succeed and both companies are driving our customers’ digital transformations. Together, we can further empower SMBs to transition quickly and easily.”
“We are excited to be joining forces with Bill.com to help SMBs grow and thrive by modernizing and transforming their financial operations,” said Blake Murray, Divvy CEO and Co-Founder. “At Divvy, our customers are our true north, and they always have been. As we listened to our customers, we heard them ask for a comprehensive payments platform so that they don’t have to use multiple software systems to manage their finances. Today I’m proud that Divvy is joining Bill.com to bring the one-stop-shop platform that our customers and the market have been asking for.”
Bill.com will acquire Divvy for approximately $625 million in cash and $1.875 billion of Bill.com Common Stock, subject to customary adjustments for transactions of this nature.
Goldman Sachs & Co. LLC is serving as financial advisor to Bill.com and Fenwick & West LLP is acting as legal counsel to Bill.com. Financial Technology Partners is serving as exclusive strategic and financial advisor to Divvy and Morrison & Foerster LLP are acting as legal counsel to Divvy.