Sidetrade [EPA: ALBFR], the global leader in AI-powered Order-to-Cash applications, has announced its intention to acquire SHS Viveon AG [FRA: SHWK], a German leader in credit risk management software. This follows an agreement made with its supervisory board.
The public tender offer is scheduled for Tuesday May 7, 2024, with plans to subsequently delist SHS Viveon’s shares.
SHS Viveon is German leader in credit risk and compliance management software applications. Founded in 1991 and headquartered in Munich, the company offers applications designed to enable risk, credit, and compliance management teams to automatically identify, assess, and hedge risks in a flexible, digital process. It simplifies access to all relevant data from any system, improves analysis and simulation, and enables better business decisions.
In 2023, SHS Viveon reported revenues of €8.8 million. The company’s customer portfolio currently comprises 80 businesses including Fortune 100 companies.
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Sidetrade, which is listed on Euronext Growth, provides a SaaS platform dedicated to securing and accelerating cash flow. Its next-generation AI, nicknamed Aimie, analyzes $6.1 trillion worth of B2B payment transactions daily in the Sidetrade Cloud to predict customer payment behavior and the attrition risk of more than 38 million buyers worldwide.
Aimie recommends the best operational strategies, intelligently automates actions on the entire Order-to-Cash process, and dematerializes customer transactions to enhance productivity, performance, and working capital improvements.
Sidetrade has been building a position in SHS Viveon
Following the execution of binding agreements with shareholders of SHS Viveon to acquire shares at a price of €3.00 each, as announced in April, Sidetrade said it has secured 1,702,407 shares, representing 68.4% of SHS Viveon’s outstanding share capital.
Sidetrade representatives said that 43% of the SHS Viveon shares have already been acquired. Another 5.7% of the SHS Viveon shares are set to be acquired in the coming days.
Sidetrade confirmed a further 19.7% of the SHS Viveon shares will be acquired at subsequent dates and at the latest in July 2024.
Public tend offer opens today
Sidetrade plans to open its public tender offer on May 7, 2024, to acquire the remaining shares of SHS Viveon at €3.00 per share in cash, representing a 53% premium over the 1-year VWAP (Volume-weighted average price) of SHS Viveon AG (€1.96 per share) as of April 15, 2024.
SHS Viveon’s supervisory board signed a business combination agreement with Sidetrade on May 1, 2024, and said it supports Sidetrade’s take-over plans. Certain undisclosed SHS Viveon AG’s shareholders have entered into a binding agreement with Sidetrade to transfer 19.7% of their shares at subsequent dates, and at the latest in July 2024.
Upon completing these acquisitions, Sidetrade will become the majority shareholder and assume control of SHS Viveon. Sidetrade will support the delisting of SHS Viveon’s shares from the open market m:access of the Munich stock exchange. Post delisting, SHS Viveon shares will not trade anymore in Germany (either Frankfurt or Munich).
Solid Q1 results from Sidetrade
In its last set of results, Sidetrade delivered first quarter revenue in line with that of the 2023 fiscal year, posting 20% growth in revenue and subscriptions alike. These double-digit figures are driven both by the US market for its services (+40%) and an increase in the company’s subscription revenues with companies generating $1 billion-plus revenue (+24%).
Looking at previous quarterly performance in 2023, Sidetrace recently told investors that Q1 bookings have hadthe greatest impact on revenue for the current year. CEO Olivier Novasque said she was confident Sidetrade would achieve double-digit revenue growth for fiscal year 2024.
