Edison Partners has sold its stake in Billtrust, a Hamilton, N.J.-based provider of payment cycle management solutions, to New York-based private equity firm W Capital Partners.
The sale generated an over 10 times return for Edison, the first institutional investor in the company. Chris Sugden, Managing Partner of Edison Partners, led the investment.
Seventeen-year-old Billtrust was founded by Chief Executive Officer (CEO) Flint Lane. Its software intends to help companies increase their cash flow, as well as improve operational efficiency and customer satisfaction through automating and accelerating accounts receivables (AR) processes.
Since Edison’s investment, the fintech solutions provider has grown its top line by 30 times, has built out its employee base to more than 500 people and has bought out seven companies. Last month, the firm carried out its most recent deal with the buyout of Credit2B. The acquisition was intended to help Billtrust expand its Quantum offering to integrate business credit reports, online credit applications, machine learning-powered credit scoring and credit analytics.
“Billtrust Founder and CEO Flint Lane was a visionary in 2001, continues to be the leading innovator in B2B billing payments, and pioneered payment cycle management today. He saw the opportunity in this market before the Fintech ecosystem declared enterprise-focused Fintech a ‘cool’ sector,” said Sugden. “Flint and the entire Billtrust team epitomize the founders, CEOs and growth-stage businesses we aim to serve.”
As part of the deal, Robert Farrell, the CEO of GlobalTranz and a member of the Edison Director Network, and Kelly Ford, Partner at Edison Partners, will remain on the firm’s board of directors. Sugden had served on the company’s board for over ten years.
Princeton, NJ-based Edison Partners targets investments in businesses generating between $5 million to $20 million in revenue across financial, healthcare and enterprise technology sectors. The firm’s current portfolio has an aggregate market value of more than $10 billion, while its team of investors manage over $1 billion in assets throughout the Easter United States.
Additional financial terms of the deal were not disclosed.