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Business Software Provider AvidXchange Files for IPO

Accounts payable software provider AvidXchange on Friday filed for a initial public offering.

AvidXchange, which provides accounts payable automation software and payments solutions to middle-market businesses, on Friday filed for an initial public offering seeking to raise up to $100 million.

The Charlotte, N.C., company, which filed a Form S-1 with the Securities and Exchange Commission, did not disclose any pricing terms.

The company plans to list its stock on Nasdaq under the ticker AVDX.

Goldman Sachs, J.P. Morgan, BofA Securities, and Barclays are listed as the lead underwriters for the IPO.

AvidXchange’s software-as-a-service-based software and payment platform digitized and automated accounts payable workflows for over 7,000 businesses and processed about 53 million transactions in 2020. The company handled over 700,000 payments for suppliers between 2015 and 2020.

AvidXchange reported revenue of $185.9 million and a net loss of $166.3 million in 2020, compared with revenue of $149.6 million and a net loss of $107.9 million in 2019, according to the filing.

Bain Capital Ventures owns 14.1% of AvidXchange stock, Mastercard  (MA) - Get Mastercard Inc. (MA) Report affiliate Mastercard Investment Holdings holds 7.5%, company CEO Michael Praeger owns 8.5%, pension fund Caisse de dépôt et placement du Québec has 7% and Ossa Investments Pte. Ltd. holds 6.9%.

AvidXchange on Aug. 30 announced the hiring of Joseph Fox as chief product officer to lead the company’s overall product strategy and drive more value for customers through accelerated product innovation.

“The needs of our middle market customers are always evolving, so it’s important that we do the same as a business by continuing to bring on top-tier talent for our product teams,” Praeger said in an Aug. 30 statement. “Joseph’s expertise will add tremendous value to the solutions we offer today and support our ability to build and launch new technology in the future.”

Fox previously held positions as chief strategy officer at BirchStreet Systems, senior vice president of business development and product strategy at SAP Ariba, as well as other roles at Ernst & Young, JPMorgan Chase and Accenture.

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