Tax software firm SurePrep snapped up by Thomson Reuters for $500m
Thomson Reuters Corporation has signed a definitive agreement to acquire SurePrep, a US-based tax automation software and services provider, for $500 million in cash.
SurePrep bought by Thomson Reuters for $500m
SurePrep is expected to generate approximately $60 million of revenue in 2022 and grow more than 20% annually in the next few years.
Elizabeth Beastrom, president of tax and accounting professionals at Thomson Reuters, says the company “sees significant value and opportunities in SurePrep”.
Founded in 2002 and based in Irvine, California, SurePrep claims a client list of 23,000+ tax professionals in the certified public accounting (CPA) and wealth management space.
The company says it leverages artificial intelligence (AI) to automate the collection of digital documents directly from clients and the processing of those documents, automatically extracting and populating key data into the firm’s tax compliance software. Its core software and services include 1040SCAN, SPbinder and TaxCaddy.
The two firms have been partnering since April 2022, and the acquisition builds on this partnership and reseller arrangement, comments Dave Wyle, CEO at SurePrep.
“Additionally, Thomson Reuters has made it clear they are committed to maintaining SurePrep’s ability to interoperate with multiple vendors across an open tax software ecosystem,” he notes.
Closing of the transaction is subject to regulatory approvals and customary closing conditions and is anticipated to happen in Q1 2023.
