{"id":25283,"date":"2021-07-17T04:45:33","date_gmt":"2021-07-17T04:45:33","guid":{"rendered":"https:\/\/rbsitsoftwaresolution.com\/blog\/servicemax-promises-accelerating-growth-as-key-to-1-4b-spac-deal.html"},"modified":"2021-07-17T04:45:33","modified_gmt":"2021-07-17T04:45:33","slug":"servicemax-promises-accelerating-growth-as-key-to-1-4b-spac-deal","status":"publish","type":"post","link":"https:\/\/www.rbsitsoftwaresolution.in\/blog\/servicemax-promises-accelerating-growth-as-key-to-1-4b-spac-deal.html","title":{"rendered":"ServiceMax promises accelerating growth as key to $1.4B SPAC deal"},"content":{"rendered":"

ServiceMax<\/a>, a company<\/span> that builds software for the field-service industry, announced yesterday<\/a> that it will go public via a special purpose acquisition company, or SPAC, in a deal valued at $1.4 billion. The transaction comes after ServiceMax was sold to GE for $915 million<\/a> in 2016, before being spun out<\/a> in late 2018. The company most recently raised $80 million from Salesforce Ventures, a key partner.<\/p>\n<\/p>\n

ServiceMax competes in the growing field-service industry primarily with ServiceNow, and interestingly enough given Salesforce Ventures\u2019 recent investment, Salesforce Service Cloud. Other large enterprise vendors like Microsoft, SAP and Oracle also have similar products. The market looks at helping digitize traditional field service, but also touches on in-house service like IT and HR giving it a broader market in which to play.<\/p>\n

GE originally bought the company as part of a growing industrial Internet of Things (IoT) strategy<\/a> at the time, hoping to have a software service that could work hand in glove with the automated machine maintenance it was looking to implement. When that strategy failed to materialize, the company spun out ServiceMax and until now it remained part of Silver Lake Partners thanks to a deal that was finalized in 2019.<\/p>\n

TechCrunch was curious why that was the case, so we dug into the company\u2019s investor presentation for more hints about its financial performance. Broadly, ServiceMax\u2019s business has a history of modest growth and cash consumption. It promises a big change to that storyline, though. Here\u2019s how.<\/p>\n

A look at the data<\/h2>\n

The company\u2019s pitch to investors is that with new capital it can accelerate its growth rate and begin to generate free cash flow. To get there, the company will pursue organic (in-house) and inorganic (acquisition-based) growth. The company\u2019s blank-check combination will provide what the company described as \u201c$335 million of gross proceeds,\u201d a hefty sum for the company compared to its most recent funding round.<\/p>\n

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Article source: http:\/\/feedproxy.google.com\/~r\/techcrunchIt\/~3\/qZ9X83gi17k\/<\/p>","protected":false},"excerpt":{"rendered":"

ServiceMax, a company that builds software for the field-service industry, announced yesterday that it will go public via a special purpose acquisition company, or SPAC, in a deal valued at <\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2}},"categories":[19],"tags":[25],"class_list":["post-25283","post","type-post","status-publish","format-standard","hentry","category-enterprise-software","tag-enterprise"],"aioseo_notices":[],"aioseo_head":"\n\t\t\n\t\n\t\n\t\n\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t