Vertex (VERX) Completes Acquisition of ecosio

Vertex Inc. (NASDAQ: VERX) (“Vertex” or the “Company”), a leading global provider of indirect tax solutions, today announced that it has completed the acquisition of ecosio, a leading B2B integration provider specializing in electronic data interchange (EDI) and e-invoicing, as of August 30, 2024.

David DeStefano, CEO of Vertex, stated, “We welcome the ecosio team to the Vertex family. E-invoicing is going to change the way international companies handle Value Added Tax compliance and reporting. By integrating ecosio’s e-invoicing capabilities together with Vertex’s leading indirect tax software platform, we’re delivering a comprehensive tax technology solution that addresses the increasingly complex regulatory landscape faced by our customers worldwide.”

ecosio Managing Director Christoph Ebm added, “Joining Vertex was the next logical step in our growth and development. Together, we will help our customers simplify indirect tax compliance and streamline complex Continuous Transaction Controls as well as B2B integration requirements while expanding our addressable market.”

The acquisition includes an upfront cash payment of $69 million, as well as a targeted earn-out of $76 million in cash and $35 million of Vertex shares. The initial purchase price of $69 million was funded by Vertex with cash on hand and represents a five times revenue multiple based on ecosio’s current revenue run rate. If ecosio achieves all financial targets and earn-outs over the coming three years, the terminal multiple will also be approximately five times revenue.

Vertex will provide investors with additional details on the financial impact of the ecosio acquisition when it announces third quarter 2024 financial results in November.

Visit here to learn more about Vertex’s e-invoicing solution.

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