SciQuest announced Tuesday it has accepted an offer to be taken private by Accel-KKR, a private-equity firm. The $509 million transaction values SciQuest at approximately a 34% premium to the stock’s previous close on Friday, May 27. If the transaction is closed, Accel-KKR will increase its holdings to 100% from nearly 5%. From a valuation multiple perspective, if the transaction closes as proposed, the deal brings SciQuest closer in line with the 4X or more revenue multiples we typically see from cloud providers in the procurement sector.
This Spend Matters PRO analysis provides history and context behind SciQuest and the transaction, as well as investor, customer and market analysis of what it means for SciQuest, including an updated SWOT analysis of the vendor.