Enterprise software provider Sage Group agreed on Tuesday to acquire US-based financial management software provider Intacct in an $850m deal that will enable payment services provider American Express and professional services firm Deloitte to exit.
Founded in 1999, Intacct has built a cloud-based platform for enterprises that incorporates cash, inventory, contract and vendor management as well as accounting, purchasing, financial consolidation, revenue recognition, subscription billing, financial reporting and project and fund accounting.
American Express invested in Intacct through its American Express Ventures unit, as part of a $45m round in 2014 that was led by Battery Ventures and backed by Morgan Creek Capital Partners and all the company’s earlier investors. Silicon Valley Bank supplied another $15m in debt.
The 2014 round followed approximately $90m in equity funding from professional services firm Deloitte, Goldman Sachs, Bessemer Venture Partners, Costanoa Venture Capital, Emergence Capital Partners, Sigma Partners, JK&B Capital, Hummer Winblad Venture Partners and Split Rock Partners.
Deloitte took part in a $21m round for Intacct in 2001 that was led by JK&B Capital and whihc included Goldman Sachs and Hummer Winblad Venture Partners.
Robert Reid, chief executive of Intacct, said: “We are excited to become part of Sage because we are relentlessly focused on the same goal – to deliver the most innovative cloud solutions for our customers.
“Intacct is growing rapidly in our market and we are proud to be a recognised customer satisfaction leader across midsize, large and global enterprise businesses. By combining our strengths with those of Sage, we can jointly accelerate success for our customers.”