NEW YORK, April 21 (Reuters) – Evercommerce Inc ( EVCMO.O ) is exploring a sale of the company after the private equity-backed management software provider attracted buyout interest, people familiar with the matter said on Friday.
Evercommerce is working with investment bank Center View Partners to explore its options, the sources said.
Evercommerce shares jumped on the news, trading up 15 percent at $13.27 in New York Friday morning, giving the company a market value of $2.5 billion.
Evercommerce’s board has set up a special committee of independent directors to oversee the sale process, and the two largest shareholders, the buyout companies PSG Equity and Silver Lake, are likely to participate in the transaction, the sources said.
PSG Equity and Silver Lake, which own 45% and 35% of Evercommerce respectively, have not decided whether to be part of a deal and may decide to cash out if there is a transaction, the sources said.
The sources cautioned that there is no certainty that any deal will be reached and asked not to be identified because the discussions are confidential.
PSG Equity and Silver Lake declined to comment, while EverCommerce and Centerview did not immediately respond to requests for comment.
Based in Denver, Colorado, EverCommerce provides management software tools and services to companies, including those in the healthcare and fitness sectors. It currently serves more than 685,000 small and medium-sized businesses, according to its website.
The company lost a third of its value after PSG Equity and Silver Lake listed on the stock market in July 2021 amid growing competition and fears of the impact of the economic slowdown on the business.
Reporting by Milana Wynn and David French in New York, Editing by Nick Ziminski
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