Danish FinTech Ageras has successfully secured €82m in a recent oversubscribed private placement round, as it looks to drive its global expansion.
The funding round, which exceeded expectations, saw substantial participation from notable investors, including the Norwegian state pension fund Folketrygdfondet, American asset manager Lazard, and leading the round, Investcorp.
Ageras’ CEO, Rico Andersen, expressed excitement about the outcome, claiming that it reinforces the companies desire to “become market leader and then go public.”
Founded in 2012, the firm initially began as an online marketplace connecting small businesses with accountants and bookkeepers. Over the years, it has evolved into a comprehensive FinTech company, offering cloud-based accounting software to over 300,000 active European small businesses.
With approximately 250 employees, Ageras has positioned itself as a significant player in the European FinTech landscape.
The €82m raised marks Ageras’ sixth and largest investment round to date. Andersen revealed that the round was oversubscribed, indicating overwhelming interest from both existing and new investors.
Notably, Investcorp, alongside existing investors and founders, contributed approximately 50% of the round. New investors, such as the Norwegian state pension fund Folketrygdfondet and American asset manager Lazard, further strengthened the investor portfolio.
Ageras intends to utilise the new funding to accelerate its acquisition strategy, aiming to enhance its product offerings and expand its market presence across Europe.
Andersen explained, “We want to make it easier to be a small business in an increasingly difficult administrative and regulatory landscape by offering a fully integrated platform where companies can manage their banking, accounting and tax in one financial cockpit”, says Rico Andersen.
“To deliver faster on that vision, M&A is an integral part of our strategy, where we have acquired technology and thus expanded our product faster than if we built everything from scratch. Currently, we see an attractive pipeline of potential acquisitions emerging, and the ones we eye reinforce our vision and goal 100%; to become market leader and then go public. Therefore, we have assembled a dream team of investors and are filling up the ‘war chest’ right now.”
Despite announcing in 2023 that further fundraising was unnecessary, Ageras seized the opportunity presented by favourable market conditions to continue its acquisition spree.
The company aims to leverage the funding to increase its Annual Recurring Revenue (ARR) to €100m, primarily focusing on its core markets: Denmark, Germany, France, and the Netherlands. This ambitious target sets the stage for potential future plans, including an initial public offering (IPO).
Reflecting on Ageras’ growth trajectory, Gilbert Kamieniecky, Head of Private Equity Europe at Investcorp, expressed confidence in the company’s strategic direction. He said, “We remain impressed with the growth and strategic development of Ageras since our first investment in 2017. Therefore, we are excited to lead this investment round which enables more accretive M&A to expand the product offering and gain market share”
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