TPG and Corpay Acquire AvidXchange in $2.2 Billion All-Cash Deal - InforCapital

In a significant move within the fintech sector, TPG Inc. and Corpay Inc. have announced the acquisition of AvidXchange Holdings Inc., a Charlotte-based accounts payable automation company, in an all-cash deal valued at $2.2 billion. The transaction, priced at $10 per share, represents a substantial premium over AvidXchange's recent trading value and is expected to close in the fourth quarter of 2025.

Founded in 2000 by Michael Praeger and David Miller, AvidXchange has grown into a leading provider of automated accounts payable and payment solutions for mid-sized businesses, boasting a network of over 500,000 suppliers and serving more than 5,500 customers across North America. The company went public in 2021 but will now return to private ownership under this new agreement.

TPG, a global alternative asset manager with approximately $250 billion in assets under management, will acquire a majority stake in AvidXchange through its TPG Capital platform. Corpay, a corporate payments firm, will participate as a strategic minority investor. The acquisition aims to provide AvidXchange with the flexibility to invest in growth initiatives and enhance its integrated payment solutions, offering greater efficiency and control for its clients.

Financial Technology Partners (FT Partners) served as the exclusive financial and strategic advisor to AvidXchange in this transaction. Steve McLaughlin, founder of FT Partners, highlighted the firm's longstanding relationship with AvidXchange, noting a significant increase in the company's valuation over time.

This acquisition reflects a broader trend of private equity firms engaging in take-private deals, particularly within the technology and fintech sectors, as they seek to capitalize on favorable valuations and invest in companies with strong growth potential.