Francisco Partners puts Vendavo on the block

More than five-and-a-half years into its investment, Francisco has engaged Lazard to sell the price management software business.

Francisco Partners has put Vendavo, a provider of business-to-business price management technology, up for sale, sources familiar with the matter told PE Hub.

The company hired Lazard to advise Vendavo on its sale process, which is currently in its early stages, the people said. First-round bids are due within the next 10 days, they noted.

Denver-based Vendavo uses big data analytics to help the world’s largest companies in a variety of industries to optimize and manage complex pricing and deal terms. The company’s technology enhances pricing discipline, optimizing pricing decisions using a variety of idiosyncratic factors and streamlining B2B deal management.

Vendavo is growing by low double digits annually, generating about $40 million in revenue, sources said The company is projecting 2021 EBITDA in the mid-$20 million range and 2022 EBITDA and in the mid-$30 million range, they said.

In 2020, the company disclosed that its SaaS business grew by 51 percent and service booking grew by 54 percent, alongside 95 percent customer retention of its subscription service.

Francisco Partners invested in the company in October 2014 and has built it out though a few strategic add-ons since that time.

In 2017, Vendavo acquired Endeavor Commerce, an SaaS-based configure price quote solution provider. The following year, the company acquired Navetti, a Swedish SaaS pricing software provider.

The company is led by president and CEO Bruno Slosse, who joined in September 2015.

Elsewhere, Francisco Partners is preparing to put cybersecurity provider SonicWall up for sale, PE Hub reported earlier this month. Francisco and minority investor Elliott Management hired Morgan Stanley to provide financial advice on that process.

Francisco Partners, Lazard and Vendavo did not return PE Hub’s requests for comment.

Correction: This report has been updated to reflect Vendavo’s correct financials.