Acquisition History
· December 2021 Taxcycle (the trading name of Trilogy Soware Inc) CA$70m to be settled 71% in cash and 29% in shares. a leading Canadian tax preparation soware company for accountants and bookkeepers, to support Xero's strategy for growth in this strategically important market. The acquisition will provide Xero with immediate access to an established Canadian income tax solution and customer base, local expertise and capability to extend its product offering in that market. https://www.asx.com.au/asxpdf/20211223/pdf/454hw7tthwp4yz.pdf
· November 2021 LOCATE (trading name of New Tack, Inc) US$19m - a US cloud-based inventory management provider, to better support the inventory needs of small business and enhance its ecommerce capability. https://www.asx.com.au/asxpdf/20211111/pdf/452v0lm25r3hzv.pdf
· March 2021 Tickstar Total consideration for the purchase of 100% of Tickstar will be up to SEK 150 million, comprising an upfront payment of SEK 60 million, to be settled 50% in cash and 50% in shares in Xero Limited, and subsequent earnout payments based on product development and performance milestones, of up to SEK 90 million. Tickstar an e-invoicing infrastructure business that allows organisations such as Xero and its customers to connect to a global e-invoicing network. https://www.asx.com.au/asxpdf/20210324/pdf/44ty3g7fw7qhcp.pdf
· March 2021 Planday With an upfront payment of €155.7 million and a subsequent earnout payment of up to €27.8 million based on product development and revenue milestones, the total potential consideration for the acquisition of Planday is €183.5 million. Planday a leading workforce management platform with more than 350,000 employee users across Europe and the UK that simplifies employee scheduling, allowing businesses to forecast and manage their labour costs. https://www.asx.com.au/asxpdf/20210304/pdf/44tb94y37knkhc.pdf
· August 2020 Waddle upfront cash payment of AUD $31 million and subsequent earnout payments based on product development and revenue milestones, of up to AUD $49 million, the total potential consideration for the purchase of 100% of Waddle is AUD $80 million. Waddle a cloud-based lending platform that helps small businesses access capital through invoice financing. https://www.asx.com.au/asxpdf/20200825/pdf/44lvg45xcc251t.pdf
· August 2018 Hubdoc acquisition price for Hubdoc in two stages, initially US$60 million consisting of 35% cash and 65% in Xero equity. Xero has arranged new debt funding for the cash component of the acquisition price. A second tranche of US$10 million in equity will be issued to Hubdoc’s shareholders in 18 months, subject to meeting agreed operational targets and conditions. Hubdoc is leading data capture solution that helps accountants, bookkeepers, and small businesses to streamline administrative tasks such as financial document collection and data entry. https://www.asx.com.au/asxpdf/20180801/pdf/43wzn9dc6s54rv.pdf
· November 2014 Monchilla US$4.12m Cash & 238,490 XRO shares - Seattle-based online payroll company. Integrating Monchilla with Xero provides improved business-to-government connectivity, and the opportunity to deliver 2015. https://www.asx.com.au/asxpdf/20141106/pdf/42tjfnvyky2j9p.pdf
Abbreviated Short History
· March 2023 Reduce costs, organisational changes reduce 700-800 roles globally and streamline Xero’s business. Xero also plans to exit cloud-based lending platform Waddle - which Xero acquired in 2020 - and expects to incur a write down of $30-40 million in FY23 as a result of this decision. https://www.asx.com.au/asxpdf/20230309/pdf/45mgyyq418tmt0.pdf
· November 2022 Announced Steve Vamos to step down and be replace by Sukhinder Singh Cassidy on 1 February 2023. https://www.asx.com.au/asxpdf/20221110/pdf/45hfn9n6d9p2r3.pdf
· November 2020 Launches an offering of US$700m convertible note offering. https://www.asx.com.au/asxpdf/20201124/pdf/44q6rdfcnybh4m.pdf
https://www.asx.com.au/asxpdf/20201203/pdf/44ql2pxnf05g9s.pdf
· September 2018 Launches an offering of US$300m convertible note offering.
https://www.asx.com.au/asxpdf/20180926/pdf/43yp0pghpr9bq4.pdf
· March 2018 Rod Drury one of founders of Xero steps down and replace by Steve Vamos. https://www.asx.com.au/asxpdf/20180305/pdf/43s54m25355b9b.pdf
· February 2015 Raised NZ$147.2m from Accel Partners and Matrix Capital Management https://www.asx.com.au/asxpdf/20150225/pdf/42wv72yvmgd4z2.pdf
· October 2013 Raised NZ$180m from a range of US and NZ investors including Matrix Capital and Peter Thiel backed Valar Ventures at NZ$18.15 per share. https://www.asx.com.au/asxpdf/20131014/pdf/42k023vzfmf4ts.pdf
