AvidXchange Holdings Inc. Set to Go Private in $2.2 Billion Deal

In a significant development for the financial sector, AvidXchange Holdings Inc., a Nasdaq-listed company known for its accounts payable and payment solutions, is set to go private in a $2.2 billion acquisition deal. This move has sent AvidXchange’s shares soaring, reflecting investor optimism about the company’s future under new ownership.

The acquisition is being spearheaded by TPG Inc., a global investment firm with approximately $246 billion in assets under management, in collaboration with Corpay Inc., a publicly traded fintech company. This strategic partnership aims to take AvidXchange private, offering a 22% premium over its current market price. The deal, announced on May 7, 2025, has already resulted in a significant surge in AvidXchange’s share price, with an increase of up to 19% following the announcement.

Despite the positive market reaction, AvidXchange’s recent financial performance has been less than stellar. The company announced its first-quarter 2025 financial results, revealing that both top-line and bottom-line estimates were missed. Consequently, AvidXchange has suspended its fiscal year 2025 outlook, adding a layer of uncertainty to its financial future.

Before the acquisition news, AvidXchange’s stock was trading at $8.23, having experienced a volatile year. The stock hit a 52-week high of $12.93 in July 2024 but fell to a low of $6.605 in March 2025. With a market capitalization of $1.73 billion and a price-to-earnings ratio of 214.51, the company’s financial metrics have been under scrutiny.

The acquisition by TPG and Corpay is expected to provide AvidXchange with the resources and strategic direction needed to enhance its offerings and expand its global footprint. As the deal progresses, stakeholders will be closely watching how the new ownership structure impacts AvidXchange’s operations and market position.

In the meantime, shareholders are advised to stay informed about the developments, as the transition to a private entity could bring about significant changes in the company’s strategic priorities and operational focus.