SAP acquisition list to add working capital solutions company Taulia

Working capital solutions provider Taulia will be added to SAP’s diverse list of acquisitions after the German tech giant announced plans to acquire a majority stake in the San Francisco-based company.

Since its inception in 2009, Taulia has offered prepayment to businesses through accounts receivable financing, dynamic discounting and supply chain financing. While financial details of its recent deal with SAP were not disclosed, the deal follows a major investment round in July 2020 that saw Taulia raise $60 million from backers including Saudi Aramco, Ping An Insurance Co. and JP Morgan.

According to a joint press release from SAP and Taulia, JP Morgan will retain its strategic alliance with Taulia and maintain its stake in the fintech provider, despite SAP acquiring majority control of the company. Commenting on the latest developments, JP Morgan’s Global Head of Trading and Working Capital, Stuart Roberts said:

“This news is very exciting both for Taulia, our successful strategic alliance partner, and for SAP as the new majority owner.”

“With SAP, we expect the strategic alliance between JP Morgan and Taulia will open new opportunities for us to serve our customers, and to inject and redeploy liquidity to suppliers as the world continues to manage the impacts of the pandemic. on the global supply chain,” he noted.

Addition of Taulia to the list of SAP acquisitions

News of the planned acquisition of Taulia came after the German multinational enterprise software company released its fourth quarter and full year results this month, reporting a 6% increase in revenue. cloud and software at 6.99 billion euros. This momentum is reflected in the success of the business transformation cloud-as-a-service (BTaaS) offering, RISE with SAP, as well as the remarkable growth of the company’s entire portfolio.

SAP CFO Luka Mucic believes Taulia strengthens the tech giant’s portfolio and adds financial flexibility and stability to the business – key factors in making supply chains more resilient. He further explained:

“Combining Taulia’s deep expertise in working capital management with SAP’s extensive portfolio of CFO solutions and integration into our core enterprise software and enterprise network solutions, we are well positioned to become a leader in working capital management. We will deliver these capabilities at scale to help companies improve their financial position and seize growth opportunities.”

As part of this new partnership, Cédric Bru will continue to serve as CEO of Taulia while Mucic will become Chairman of the Board of Directors. Additionally, Taulia will operate as an independent entity with its brand within the SAP group so that non-SAP customers can continue to benefit from Taulia’s product portfolio.

Expressing his joy at the company’s integration with SAP and its ecosystem, Taulia CEO Bru said it will help them contribute to SAP’s vision and be able to serve more customers. He added:

“Cash is the oxygen businesses need to breathe during tough economic cycles and growth sprints. Partnering with SAP will help accelerate Taulia’s mission to help businesses thrive by freeing up cash trapped in supply chains.

Expand SAP’s working capital management portfolio

Recognized for its technology platform and solution portfolios in the working capital management industry, SAP said Taulia was “an important partner” with proven integration with the company’s solutions. In addition to aiming to provide better access and increase cash flow for businesses, the proposed agreement is also expected to strengthen SAP solutions for the CFO’s office and expand the SAP Business Network.

Additionally, adding Taulia to SAP’s list of acquisitions is intended to help the SAP ecosystem, as customers can take advantage of prepayment options with predictable off-balance sheet funding to improve their liquidity. The German tech giant also plans to provide a wider range of financial services to banks and insurance companies in its platforms, solutions and services.

SAP Fioneer, which launched in September last year and is part of the company’s strong partner ecosystem, would play a key role in SAP and Taulia’s offerings. As a dedicated financial services industry (FSI) jointly owned by SAP with entrepreneurial investor Dediq, SAP Fioneer is the tech giant’s answer to customer demands for accelerating digital innovation in the areas specific to ISPs, basic insurance, basic banking services and businesses. solutions.

About Donnie R. Losey

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