Hansen Technologies on Monday received a conditional and non-binding buyout proposal from private equity firm BGH Capital in a deal that values the ASX-listed billing solutions provide at A$1.3 billion ($1 billion). The news of Hansen Technologies’ acquisition sent its shares soaring to a record high.

BGH’s offer of A$6.50 in cash per share represents a premium of 25.5% to the company’s last closing price. Hansen Technologies’ board backed the offer and said it had granted the private equity firm exclusivity for six weeks and due diligence access.

Hansen Technologies BGH Capital

Andrew Hansen, MD and chief executive officer at Hansen Technologies, has nearly a 20 percent stake in the company. He has separately struck a deal with BGH to vote his 17.5% stake in favor of a formal acquisition bid from the private equity firm during the exclusivity period.

Hansen Technologies’ board of directors, which includes David Osborne and Bruce Adams holding, also intend to recommend the buyout proposal from BGH Capital to shareholders.

According to analysts at RBC Capital Markets, the support from Andrew Hansen and major shareholders suggests that the buyout has a high chance of completion.

Hansen shares jumped 23% to the news against a 0.2% decline on the broader index.