Private equity firm Bridgepoint is reportedly readying an acquisition of treasury management technology firm Kyriba, according to Private Equity News reports on Monday (March 25), which values the firm at $1.2 billion.
The publication, citing unnamed sources, said Bridgepoint has struck an agreement with Kyriba for the acquisition that will land a 75 percent stake in the firm. The sources added that most institutional investors are divesting their stakes in the company.
A spokesperson for Bridgepoint declined to comment on the matter. Kyriba confirmed an investment from Bridgepoint on Wednesday (March 27) to the tune of $160 million in growth equity, according to a press release.
Mangrove Capital Partners, Upfront Ventures, Bpifrance, Iris Capital and Sumeru Equity Partners are among the investors in the company, Private Equity News noted. The deal would mark a significant increase in valuation for the firm, which was valued at about $350 million in 2017, when Sumeru Equity Partners provided $45 million in growth equity for the firm. (At the time, reports said Kyriba would use the investment to focus on growth and product development.) For Bridgepoint, the deal would be the latest effort to strengthen the presence of U.S. businesses within its portfolio, according to reports.
Earlier this year, Kyriba announced a collaboration with Citi that sees the company integrating with the bank's platforms via API, allowing corporate customers to add Citi bank data directly into the treasury management solution. That partnership was made possible by Kyriba's global connectivity hub, which aims to link financial systems to treasurers for integrated, automated treasury management processes.
"APIs represent the next generation of bank connectivity, and offer robust advantages over traditional file transfer technologies," Kyriba's VP of Strategy Bob Stark said in a statement at the time. "We are excited to provide this new API integration with Citi to our clients as part of an emerging connectivity standard, which will offer new opportunities for real-time bank reporting, account management and payments."