Growth continues for the enterprise SaaS sector - cloudfront.net
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Growth continues
for the enterprise SaaS sector
SPOT ON | ENTERPRISE SAAS | FEBRUARY 2021
“The software market has MARKET OVERVIEW (pg.2)
transformed dramatically within We explain the surge in Nordic SaaS share prices and why equity
investment in the sector continues to rise to new levels.
the past decade, and nowhere more
so than in the Nordics, where a SPOTLIGHT (pg.3)
Interviews with CEOs of eSmiley and LeadDesk, two companies that
large number of high-growth SaaS
sailed through the COVID-19 storm and demonstrate the resilience of
providers have emerged. This is the SaaS model.
evident in the M&A market, as well
CASE STUDIES: FOCUS ON THE NORDICS (pg.8)
as the region’s initial public offering Read how Oaklins has supported Nordic entrepreneurs in their M&A
(IPO) market, where during the past ambitions, as well as pursuing IPOs and growth equity financing.
five years there have been over 30
OUR TRACK RECORD (pg.12)
IPOs for SaaS companies.” A summary of recent transactions closed by Oaklins.
ALPO LUOSTARINEN
ENTERPRISE SAAS SPECIALIST
OAKLINS
MARKE T OVE RVIE W
Having weathered the worst of the COVID-19-induced
downturn, share prices of SaaS companies have surged in
the Nordic stock market, driven by increased demand for
cloud-based software solutions. For nearly 10 years, equity
investment in the sector had steadily risen to new levels.
But then the public SaaS market wobbled during the first
half of the year 2020, along with all other sectors, when
valuations initially plunged. By June, though, the share
prices for publicly traded firms had returned to their former
highs, as Nordic SaaS companies demonstrated an ability
to maintain both their growth and their profitability in the
face of the pandemic.
(CONTINUED ON NEXT PAGE)
Market overview
(continued from previous page)
The same trend can be seen in the IPO domestic and international investors,” The combined capital raised by these
market as well. explains Alpo Luostarinen, Oaklins, IPOs has been close to US$400 million.
enterprise SaaS specialist for the But while the median amount raised
“During the past decade the disruption region. “This,” he says, “is especially throughout the period was around
within the software market has apparent in the region’s IPO market, US$10 million, the second half of 2020
established a platform for a large where during the past five years there brought significantly larger IPO rounds
number of high-growth SaaS providers, have been over 30 IPOs for SaaS to the Nordic market.
raising significant interest from both companies.”
Oaklins Nordic SaaS Index performance
250
200
150
100
50
0
Jan-20 Feb-20 Mar-20 Apr-20 May-20 Jun-20 Jul-20 Aug-20 Sep-20 Oct-20 Nov-20 Dec-20
Oaklins Nordic Helsinki All OMX Stockholm Copenhagen Oslo Stock Exchange OMX Nordic
SaaS Index Share Index All Share Index KAX Index All Share (OSEAX) Index 40 Index
Source: S&P Capital IQ
A number of transactions reflected this How do we explain this outsized in line with market realities. In other
new level of interest towards the Nordic performance? The major reason is the words, they can quickly trim their sails to
SaaS market in the form of growth equity SaaS sector’s business model, which weather an unexpected downturn.
investments, including TCV’s recent is geared towards building long-term
US$200 million investment in RELEX customer relationships. These result Here we profile two Nordic SaaS
Solutions and Providence Equity’s in recurring revenue streams and high companies that sailed through the
US$222 million investment in Smartly.io. retention rates. Since income remains recent market turmoil. Unphased by
For the most part, the valuations of these consistent, while sales and marketing the economic disruptions surrounding
Nordic SaaS transactions are in line with costs remain low, profit margins can be COVID-19, in both cases their businesses
the broader SaaS M&A market, with unusually strong. were able to continue offering
multiples ranging between three- and customers value, even at the height
five-times revenue. Publicly listed SaaS In addition, the SaaS model requires little of the pandemic. They are, in short, a
companies, on the other hand, have by way of fixed costs and investments, testament to the resilience and flexibility
been performing exceptionally well, with while focusing heavily on new sales. inherent in the SaaS model for software
valuations skyrocketing to well over This makes it much easier for these delivery.
10-times revenue. companies to adjust their spending
OAKLINS – Spot On · Enterprise SaaS · February 2021 2
Spotlight:
eSmiley
Headquartered in Copenhagen, platform in the Nordic region and then Q&A
Denmark, eSmiley is the Nordic region’s roll it out in other countries where they
leading supplier of digital self-monitoring operate. This was how the software was When you founded eSmiley, what led
solutions for professional kitchens. The introduced to many national markets. you to view digital compliance as a
company has developed a SaaS-based business opportunity?
platform for monitoring food safety Recognizing the potential of what was
compliance and reducing food waste, happening, eSmiley CEO Lars Friis Lars Friis: When we founded the
which guards against health hazards, explored together with Oaklins different company, we began by offering an
makes better use of resources and ways the company could gain the entirely different product. But nobody
improves kitchen profitability. additional muscle to grow its market wanted to buy it. Instead, customers
presence. After considering different were telling us that if we offered them
Since its founding in 2008, eSmiley attractive options, Friis and his co- a digital product that could help them
has built a base of more than 6,000 shareholders agreed to sell a majority manage their food hazards, they would
customers, ranging from small restaurants stake in eSmiley to VIA equity, a multi- be interested. So, we created a very
and cafes, to large chains, hotels, food stage private equity firm. With more than simple version of the eSmiley program
production facilities and public institutions. €400 million (US$470 million) under to show them, and the response was
Its subscription software is used in more management, VIA focuses on specialized “Yeah, I want to buy that.”
than 15 countries, including China, the technology companies based in northern
United States and many parts of Europe. Europe, making eSmiley a good fit. That taught us that listening to our
customers and understanding their needs
eSmiley’s customer roster includes In the following interview, Friis spoke is an essential part of building a software
international food giants such as with Oaklins about the company’s business. So, our mantra became “We want
McDonald’s, Joe & The Juice and Danish trajectory, its growth strategy and our software to adapt to the customer’s
Crown. In many cases, one of these the importance of the M&A market to business” — rather than trying to get the
customers would begin using the eSmiley realizing eSmiley’s potential. customer to adapt to our software.
OAKLINS – Spot On · Enterprise SaaS · February 2021 3
Spotlig h t: e S m i l e y
How has the marketplace changed since requirements. This has opened up what they want to focus on — producing
2008? Is digital compliance and food an opportunity for us to expand our high-quality, good-tasting dishes — while
waste management an even greater market by introducing our platform into also ensuring that they meet their food
opportunity now? other countries. And there’s more than safety goals without getting sidetracked.
compliance involved.
Friis: In the beginning, things progressed For the big chains, it’s all about visibility.
at a slow pace. Customers were Let’s take a universally known brand We provide a platform that lets them see
used to managing their food safety like McDonald’s. They really need to how all of their restaurants are performing
compliance manually, using a paper- be on top of their food safety. Can you on food safety in real time. If there’s an
based system. There were quite a few imagine the scandal, if it was learned issue, and you can’t see it in real time,
industry consultants that reinforced this that their customers were falling ill you can’t act on it until it’s too late.
by updating the necessary forms once because of shortcomings in their safety
or twice a year. It took some time to protocols? The negative PR would Then there’s our food waste
convince people that a digital platform have massive consequences for their management product, which we
would be much easier to use. To take brand, so they really can’t afford not to developed to give ourselves a second
advantage of it, people’s behavior in the invest in these systems. This is true for doorway through which we could
kitchen had to change — and changing many different restaurant chains and approach customers. This way, the
behavior takes time. large food-production companies, like conversation wouldn’t be all about
Denmark’s Danish Crown, which sells its compliance. We could say to them, “Well,
But people gradually realized that a pork products all over the world. From what about your efficiencies concerning
digital solution really was easier and a commercial standpoint, investing in a food waste? Have you looked at that?”
that it wasn’t so difficult for the kitchen digital safety platform like ours is a very We are fortunate in that food waste is
staff to adapt to it. This increasing small investment compared with the size high on the world’s agenda, and our
acceptance, along with a growing of the risks involved. product creates a lot of efficiencies
customer base, came together to within the kitchen, which makes its
provide a sort of proof of concept that What do your customers value most return on investment (ROI) very easy
gave new customers the confidence to about working with your company? to understand. So, this is another area
engage with the software. What do you give them that they can’t where we help our customers create
afford to be without? value.
The broader movement around
increased digitalization in both the public Friis: Kitchens and chefs want to How has the COVID-19 pandemic
and private sectors has also helped. So produce good-tasting food. That’s what affected your business? Has it presented
convincing customers to adopt a digital they’re all about. You don’t go to culinary you with new opportunities?
platform to manage their food safety school to learn about food compliance.
issues has gotten much easier over time. You do it because you want to produce Friis: Everybody is affected, and our
the best-tasting dishes. Sure, food strategy has been to help our customers
The Nordic region is probably a little safety is important, but the people in manage this situation. Our market
ahead of the rest of the world in terms of the kitchen may see it as something of position has continued to improve
food safety and food safety compliance a distraction. So, we help them focus on throughout the pandemic, and we are
“With Oaklins on board, it was like having our own SWAT
team to lead every aspect of the transaction — from from
initial preparation to final negotiations. Oaklins allowed us to
focus on running the business, while ensuring an attractive
deal for the shareholders and a strong platform to support the
company’s growth — we are extremely pleased with
the outcome.”
LARS FRIIS
OWNER & CEO
ESMILEY
OAKLINS – Spot On · Enterprise SaaS · February 2021 4
Spotlig h t: e S m i l e y
in a stronger position now than before it We were very fortunate in that there The Oaklins team engaged me at every
started. was huge interest in our company from step — but they also kept the process
possible investors. So, we could actually to a minimum. So, it was like having our
Among our customers, hotels and airports choose between different opportunities, own in-house M&A function. They really
are suffering the most, and where we’ve and I think that the choice that we made, understood the business, and I could just
been able to help them has been with to go with VIA, will lead to the best turn to them whenever I needed to.
managing food waste. This has been the possible outcome for the company.
area of our company that has been most What’s your vision for eSmiley? What do
affected by COVID-19. Why did you choose Oaklins as your you hope the company can achieve?
financial advisor?
What does it mean for eSmiley now Friis: When we started out, I had
that VIA equity has taken a majority Friis: For me, it’s all about chemistry. this road map: I wanted us to be the
stake in the company? How will this When I first met Daniel Sand from champion of Denmark first, then I wanted
help you going forward? Oaklins I liked him a lot and Oaklins had us to be the champion of the Nordic
a good track record. I told him, “We’re a region. Then I wanted us to be European
Friis: We have a subscription-based small company — so I don’t need 10 guys champions, and then, if possible, we
business model, where every customer sitting there crunching data for me. But should be world champion. And that’s a
is paying a little. It takes time to build it we don’t have a large staff, so I really do path that I’ve followed as we’ve built the
organically. In the meantime, the Nordic need someone who can help me with my business.
region is ahead in the way we handle story building.” And then ... we just got
food safety and waste. That means started. Now, we’re ready to attack Europe. So,
there is a great opportunity to bring our in a reasonable time frame, becoming a
products to new international markets. I had maybe three or four other advisors major European player would be very,
whom I talked to, but I believed the most very nice. Creating one of the biggest
But other countries will catch up with in the Oaklins setup. providers of food safety compliance
Denmark in terms of food compliance, within the European market — that’s my
so our window of opportunity to take What was it like to work with Oaklins? dream.
advantage of the lead that we have is How did they add value?
small. I can’t afford to wait for organic
growth; I need to be able to go out Friis: I was very, very pleased with the
there and do some M&A to become a work I received from Oaklins. I found
European player. But the privately held them professional, friendly, motivated,
ownership structure that we had didn’t engaged ... most of all, they were
have the financial muscle to pursue genuinely interested in understanding
these opportunities. We needed to bring our business. And the outcome was
on additional resources. much better than I expected.
OAKLINS – Spot On · Enterprise SaaS · February 2021 5
Spotlight:
LeadDesk
LeadDesk has been on a growth tear, Capricode Systems Oy, a Finnish-
closing deal after deal. Founded in 2010, based provider of customized call and
the Helsinki-based provider of contact- messaging solutions for the healthcare,
center-as-a-service (CCaaS) software is energy and logistics industries, followed
using acquisitions to rapidly expand its by the acquisition of Swedish Loxysoft
presence throughout the Nordic region AB and Norwegian Loxysoft AS in late
and Europe. 2020.
LeadDesk’s cloud-based solution for An established SaaS company with more OLLI NOKSO-KOIVISTO
high-volume sales and customer service than 25 years of experience, Loxysoft CEO
is used by over 10,000 agents and provides cloud-based CCaaS services LeadDesk
handles more than 300 million client to banks, insurers, energy companies Helsinki, Finland
contacts each year. The company’s and other enterprise customers. With the
1,000-plus customers are spread acquisition, LeadDesk has established
across 34 countries and are serviced itself as one of the pre-eminent Q&A
by offices in seven countries, including providers of SaaS-based services in
Finland, Sweden, Germany, Norway, the the Nordic region and strengthened Back in 2010, what were the
Netherlands, Denmark and Spain. its position both domestically and circumstances that prompted
internationally. LeadDesk’s founders to launch the
During the past few years, the CCaaS company?
market has been growing rapidly, spurred With revenue of US$13.9 million in 2019,
most recently by the pandemic and the the company experienced a stellar first Olli Nokso-Koivisto: The company’s
business community’s need to adopt half in 2020, growing by more than 27%. founders were former McKinsey
remote-working practices. The market Its domestic revenues now account consultants for the telecom industry in the
for CCaaS has also been consolidating, a for only 48% of the total, with the lion’s Middle East and Europe. They saw that the
trend that LeadDesk has seized on with a share coming from its markets across landline business was dying and a new
recent series of transactions. Western and Central Europe. business model was needed, with software
providers replacing existing services.
In early 2019, the company completed In the interview that follows, we caught
an IPO on Nasdaq First North Helsinki up with LeadDesk CEO Olli Nokso- I joined the company in 2013, when it
with the backing of several institutional Koivisto, who described his vision for purchased a small Finnish competitor and
investors. Then, in short order, it the company, its growth strategy and began doing business in other countries
acquired Nordcom Oy, a Finnish the role that Oaklins has played as its outside the domestic Finnish market.
company providing ITC-solutions, financial advisor.
OAKLINS – Spot On · Enterprise SaaS · February 2021 6
Spotlig h t: Le a d D e s k
What is LeadDesk’s mission? them with complete redundancy. Loxysoft (a Sweden-based SaaS provider
Or to put it another way, what is its So, if they are experiencing internet of cloud-based contact center services
value statement to its customers? Has connectivity problems in one area, they for customer service and sales), our
that changed over time? can immediately reroute their traffic to market position has become very strong
another. throughout the Nordics, which can now
Nokso-Koivisto: We always believed be considered our new domestic market.
that cloud-based solutions would come From your founding until now, what
to dominate the market. This vision has have been the major inflection points? As for the rest of Europe, you might ask
defined the company and differentiated What were some of the key challenges when we plan to enter the UK market. But
us from our competitors. We are unique that you’ve faced? for now, we would rather concentrate on
in terms of “owning” the cloud. central Europe and the Nordic markets,
Nokso-Koivisto: Perhaps the biggest where we have many cultural advantages
Our infrastructure is 100% self- was determining the correct strategy over our competitors who are focused on
provisioned. A customer can launch a and coming up with a recipe for English-speaking markets.
contact center and scale up to 1,000 expanding in Europe, which is much
agents without ever having to contact less of a homogenous market than e.g. What other advantages does LeadDesk
us. They will, of course, for business the United States. Sweden, Norway, have?
reasons, but the contact centers are Denmark, Germany, the Netherlands
completely self-managed. or Spain — each of these countries has Nokso-Koivisto: Our service is remote
their own customs and their own way of by nature — it makes no difference if
A self-provisioned solution offers doing business. There are a great many you’re working from home or an office.
tremendous benefits to customers technical and language variances. So, Given the situation with COVID-19, going
in terms of service transparency and the challenge has been to provide a forward, working remotely will become
quality, reliability and, of course, local solution for each of them that is, at more common and customers will
security. And since it is so efficient the same time, part of a global solution. demand remote capabilities. This gives
— we don’t have to hire people to us a significant competitive advantage.
manage installations or maintain service Of course, some of our large customers
levels — our pricing model is extremely serve many different markets. But our You’ve worked with Oaklins as your
cost-effective for customers. solution also needed to be global in financial advisor. What role have they
scale in order to compete, feature by played in helping you achieve your
Under our model, we don’t have to work feature, with the best global providers growth and financial objectives?
with customers individually. We are a — while also being tailored to the
multi-tenant solution with availability customer’s local market. Nokso-Koivisto: We successfully IPOed
zones. If a customer goes down, that in 2019 and Oaklins was our advisor.
means all the customers in a zone are One key advantage that we developed That put us in a significantly better
down, and we can concentrate our is that we are able to connect the financial position. Since being listed,
efforts on restoring the zone, not on customer’s operators through multiple we’ve made three acquisitions, and
individual customers. This is much more communications channels — text, Oaklins was our advisor for two of them.
efficient. phone, email, chat, whichever the The third was a much smaller deal for
contact is using — and then transfer the which we didn’t need an advisor.
Another advantage to self-provisioning: conversation to another channel with
there are times when certain customers great reliability. We are the only provider Oaklins’ process has been superb,
experience extreme peaks in traffic, and in Europe that can consistently do this, and the level of knowledge of their
it is very simple for them to scale their and it is a great competitive advantage. people has really helped our business.
operations accordingly. We don’t have to Not everyone understands a cloud-
manage — and they don’t have to rely on Geographically speaking, what are your based business, but they have a strong
us to manage — their traffic peaks. key growth markets? And how important understanding of the SaaS model
is the Nordic market to your long-term and can help us evaluate potential
We have 15 switching centers for our strategy? acquisitions. We’re really very happy
voice over internet protocol (VOIP) about their work and are happy to
infrastructure across Europe, and any Nokso-Koivisto: Our non-Finnish markets recommend them.
customer can access any of these are growing faster than our domestic
centers at any time. This provides market, and with our acquisition of
OAKLINS – Spot On · Enterprise SaaS · February 2021 7
Case studies:
Focus on the Nordics
While Nordic technology companies have gained a lot of interest from investors both domestic and abroad,
Oaklins’ teams in the Nordics have been highly active in supporting the entrepreneurs in their growth track —
both in terms of IPOs and growth equity financing as well as selling and acquiring businesses.
GRAZPER TECHNOLOGIES HAS in supermarkets — using cameras that
BEEN ACQUIRED BY YOKOGAWA stream video directly to an external
“Before Oaklins
ELECTRIC CORPORATION location for manual or automatic analysis.
introduced them to us, we
Founded in 1915, Yokogawa is a leading didn’t know Yokogawa,
provider of industrial automation and test with their impressive
Grazper Technologies was and measurement solutions. Combining track record and strategic
founded in 2015 and has superior technology with engineering ambition to enter the AI
services, project management and
advanced into an artificial field. Becoming a center
maintenance, Yokogawa delivers field-
intelligence (AI) software proven operational efficiency, safety, of excellence for their
development powerhouse quality and reliability. The industrial global operations from
based in Copenhagen, automation business provides vital our Copenhagen base
Denmark, with highly products, services and solutions to a is very appealing to us,
diverse range of industries, including and if it hadn’t been for
motivated engineers, software
oil, chemicals, natural gas, power, iron
developers and computer Oaklins’ global access
and steel, and pulp and paper. With its
scientists. innovation business, the company also and seamless execution,
aims to radically improve productivity we wouldn’t have been
Grazper has developed a platform to across the pharmaceutical and food in this extremely exciting
build full stack proprietary real-time 3D industry value chains. Yokogawa has situation.”
vision solutions using embedded AI. a global network of 113 companies
The platform can support networks of spanning 60 countries and generating
THOMAS JAKOBSEN
installed cameras and embed intellectual US$3.6 billion in sales in 2018.
property into edge devices for intelligent CEO AND
machine vision applications. Oaklins’ team in Denmark acted as COFOUNDER, GRAZPER
The solution, in its current form, facilitates strategic and financial advisors to TECHNOLOGIES APS
automatic monitoring of cars, cyclists the sellers in this transaction. Oaklins
or pedestrians, with the purpose of Smith & Williamson, based in the UK,
smoothing traffic flow or creating supported the transaction.
automated behavioral customer analysis
OAKLINS – Spot On · Enterprise SaaS · February 2021 8
Case studies: Foc u s on th e N o rd i c s
TOTAL SPECIFIC SOLUTIONS B.V. FDC is one of Scandinavia’s largest
HAS ACQUIRED FORSIKRINGENS suppliers of IT solutions for the insurance
“Oaklins has in-depth
DATACENTER A/S FROM A GROUP and pension industry. FDC has a broad
OF INSURANCE COMPANIES reach and a large customer base totaling industry expertise in
more than seven million policies in software and IT, and they
Denmark, Norway and Sweden, with really understand the
tailored and specific software solutions. industry’s opportunities.
The shareholders of The firm was founded over 50 years FDC is a true vertical
Forsikringens Datacenter ago through the collaboration of several
market software company
insurance companies and has a profound
A/S (FDC), Gjensidige, Bupa and fits in well with the
knowledge of the insurance industry and
Global and Sygeforsikringen software market. TSS group. As part of
“danmark,” have sold the TSS, FDC will benefit
company to Total Specific This successful transaction originated from our know-how,
Solutions (TSS). from the combined expertise from financial strength and
Oaklins’ Danish and Dutch technology,
operational experience to
media and telecom (TMT) sector teams.
TSS is a leading provider of IT business Oaklins’ team in Denmark advised TSS in ensure renewed focus and
solutions with decades of experience, connection with the acquisition of FDC. growth.”
Its independent business units deliver Oaklins’ team in the Netherlands has a
solutions and services to the health, long-standing relationship with TSS and RAMON ZANDERS
public, retail, financial and legal service introduced the Danish team, who executed GENERAL MANAGER,
areas as well as being active in the audit the transaction. This deal is another
TOTAL SPECIFIC
and real estate industries. TSS is part of example of the seamless cross-border
Constellation Software Inc. (CSI), listed cooperation within Oaklins, demonstrating SOLUTIONS B.V.
on the Canadian Stock Exchange. With the organization’s added value through
this acquisition, TSS enters the Danish its global execution capabilities, industry
software market and strengthens its expertise and contacts.
foothold in the finance vertical.
RESOLUT MARKETING SYSTEMS Resolut Marketing Systems is a leading to support its growth plans in the North
HAS BEEN ACQUIRED BY Swedish provider of cloud-based tools to American market, the largest globally.
BRANDMASTER efficiently manage marketing resources
and activities, known as a marketing Brandmaster is a fast-growing developer
resource management (MRM) platforms. and provider of MRM systems, with
The company has an impressive a leading position in the Norwegian
The private shareholders of customer portfolio, which includes market and a rapidly growing
Resolut Marketing Systems brands such as Swedbank, BMW, Toyota, international presence.
Volkswagen and Svenska Spel. Resolut
AB have sold the company to
Marketing Systems is headquartered Oaklins’ team in Sweden acted as
Brandmaster AS. in Stockholm and in 2016 established financial advisor to the sellers in this
an office in the United States in order transaction.
“We are very happy about the deal. Oaklins’ Swedish team has played an instrumental role in making this
happen, as they quickly acquired a thorough understanding of our business and market and worked with
great dedication in every step of the process. That we now become a part of Brandmaster is very positive for
both parties, as instead of competing we can now take a joint grip of the Nordic market, while leveraging our
complementary geographic footprints to accelerate our international expansion.”
JONAS WÄRN
CEO, RESOLUT MARKETING SYSTEMS AB
OAKLINS – Spot On · Enterprise SaaS · February 2021 9
Case studies: Foc u s on th e N o rd i c s
ITVERKET’S MAJORITY SHARE culture over the years, which attracts
HAS BEEN ACQUIRED BY BERTEL solid professional expertise and some of
“Oaklins made an
O. STEEN KAPITAL the best minds in the market.
important contribution
Tom Henrik N. Rogstad, CEO at ITverket, to the execution of this
said: “Bertel O. Steen Kapital is the transaction through their
The private shareholders perfect partner for us. They are known industry knowledge and
of ITverket AS have sold a for their long-term perspective, and at the insight into the investor
same time they will provide the required
majority stake in the company universe.”
expertise and capital for us to be able to
to Bertel O. Steen Kapital AS take the next steps. The team has really
and to well-known business seen the value in the good and strong RICHARD STØEN
executives, Jo Lunder and culture we have built at ITverket over the COFOUNDER AND
Tom Scharning. years. We look forward to developing the CHAIRMAN, ITVERKET AS
company together with them.”
ITverket is an IT-consulting firm with Bertel O. Steen Kapital is the investment
around 100 employees, and offices in company of the family-owned Bertel Oaklins’ team in Norway served as
central Oslo, Norway. The company O. Steen Group, with roots dating back the lead advisor to the shareholders
offers services in system development to 1901. The group had revenues of and management of ITverket in this
and integration, project management, approximately US$2 billion in 2019 transaction.
architecture and digital customer and 2,550 full-time equivalents (FTEs).
experiences. Developing and providing Bertel O. Steen Kapital’s investment
non-standardized mission-critical strategy is to invest in medium-sized
software and solutions to its clients, growth companies with great potential.
ITverket assists some of the largest
players in Norway in several industries, The founders and employees of
such as banking, finance, insurance ITverket have reinvested and will
and telecom, among others. In addition keep 49% ownership share in the
to the technical aspects, the IT agency new holding company, while the new
has developed a very strong corporate investors have 51%.
EBUILDER TRAVEL HAS BEEN process end-to-end for both travelers problem for business travelers, human
DIVESTED TO MOBILEXPENSE and employers. It is supplier neutral resources and accounting departments
and can be fully integrated to existing around the world. The product offers
enterprise resource planning (ERP), multinational organizations full regulatory
finance, payroll and/or billing solutions. compliance with country-specific taxation
eBuilder AB, a supplier of In addition, the company also provides and legal allowance regulations, as well
smartphone insight, has third-party integration to travel agencies, as the flexibility to integrate company
payment card issuers, banks and travel regulations and policies.
sold eBuilder Travel, a
account providers. Numerous large
Swedish leader in travel and public and private sector organizations eBuilder provides mobile operators
expense management, to rely on eBuilder Travel solutions, which and manufacturers with smartphone
MobileXpense. are used in more than 80 countries health and user behavior data, as well
worldwide. as prescriptive analytics that improve
sales effectiveness, customer loyalty and
eBuiler Travel is a Swedish leader MobileXpense is a leading provider process efficiency.
in travel and expense management. of global travel expense management
The company provides a cloud-based solutions for large multinationals and Oaklins’ team in Sweden acted as
business process as a service (BPaaS) governmental organizations. Its uniquely financial advisors to the seller. The team
— solution to B2B customers — that flexible SaaS solution simplifies a in Belgium approached the buyer and
supports the entire travel and expense complex and often time-consuming supported throughout the transaction.
OAKLINS – Spot On · Enterprise SaaS · February 2021 10Case studies: Foc u s on th e N o rd i c s
LEADDESK OYJ HAS ACQUIRED Based in Oulu, Finland, Capricode
CAPRICODE SYSTEMS OY Systems delivers customized call and
“The acquisition
messaging solutions for demanding
needs. The company has more than 20 strengthens LeadDesk’s
years of experience in the industry and position — especially in
LeadDesk Oyj has an impressive customer portfolio, mainly the enterprise customer
strengthened its position in the healthcare, energy, logistics and segment, where we see
facility services industries. exceptional growth
in the enterprise customer
segment via the acquisition of potential both domestically
Oaklins’ team in Finland acted as the
Capricode Systems Oy. exclusive financial advisor to the buyer and abroad. We are a
in this transaction. The acquisition growth company and will
LeadDesk is a fast-growing and strengthens LeadDesk’s strategic continue to make growth
internationalizing software company, position in the enterprise customer investments that build
operating in the cloud-based software segment and enables the company to value for our shareholders.
market in Europe. The company offers offer better support to industries critical
Capricode Systems is a
the LeadDesk cloud service for high- to society.
volume sales and customer service and prime example of such
has grown to a leading cloud service investments.”
vendor in the Nordics. LeadDesk’s
shares are traded in the Nasdaq First OLLI NOKSO-KOIVISTO
North Finland market. The company CEO, LEADDESK OYJ
has offices in seven European countries
and its services are used by over 1,000
customers in 34 countries.
LEADDESK OYJ HAS ACQUIRED and its services are used by over 1,000
LOXYSOFT customers in 34 countries.
“I’m super thrilled about
Loxysoft is an established SaaS our first acquisition
company focused on customer service outside of Finland as
LeadDesk Oyj has acquired and sales. It develops and provides a listed company. This
the Swedish Loxysoft AB and cloud-based CCaaS, branded as is already our third
ProConnect, as well as inbound and acquisition of the year. As
the Norwegian Loxysoft AS
outbound contact center services.
from FutureMind AB, Great a true growth company, we
Its loyal customers include, among
Lake Capital AB, and the others, banks, insurance companies are not afraid of investing
investment funds Almi Invest and energy companies. Loxysoft has in expansion.”
AB and MIC Invest AB. more than 25 years of experience in
delivering business-critical software, OLLI NOKSO-KOIVISTO
and 43 employees in Stockholm, Oslo CEO, LEADDESK OYJ
LeadDesk is a fast-growing and and Östersund.
internationalizing software company,
operating in the cloud-based software Oaklins’ team in Finland acted as the
market in Europe. The company offers exclusive financial advisor to the buyer
the LeadDesk cloud service for high- in this transaction. The acquisition
volume sales and customer service strengthens LeadDesk’s position as the
and has grown to be a leading vendor leading SaaS contact center software
in the Nordics. LeadDesk’s shares vendor in the Nordics, which supports
are traded in the Nasdaq First North growth in Central Europe.
Finland market. The company has
offices in seven European countries
OAKLINS – Spot On · Enterprise SaaS · February 2021 11Our track record OAKLINS – Spot On · Enterprise SaaS · February 2021 12
Tr ac k re c o rd OAKLINS – Spot On · Enterprise SaaS · February 2021 13
A bou t O a k l i n s
Deep local roots,
global commitment
Oaklins brings you opportunities from across the world and
we meet you with our expertise wherever you are
OAKLINS OFFERS A ALPO LUOSTARINEN
COMPREHENSIVE RANGE Author
OF SERVICES Enterprise SaaS specialist
ͽ M&A advisory (buy- and sell-side) Finland
T: +358 50 9113507
ͽ Growth equity and equity capital
markets advisory
ͽ Debt advisory DANIEL SAND
Author
ͽ Corporate finance services
Managing Partner
Enterprise SaaS is one of our focus Denmark
areas. Combining comprehensive T: +45 30 27 76 67
sector knowledge with global
execution has led Oaklins to become
one of the most experienced M&A NIKOLAI K. LUNDE
advisors in the enterprise SaaS
sector, with a large network of Managing Partner
relevant market players worldwide.
This results in the best possible Norway
merger, acquisition and divestment T: +47 908 95 522
opportunities for enterprise SaaS
companies.
ADEL KOUBAA
If mergers, acquisitions, or divestitures
of businesses or business units
Managing Partner
are part of your strategy, we would
welcome the opportunity to exchange
Sweden
ideas with you.
T: +46 8 459 82 40
Oaklins is the world’s most experienced mid-market M&A
advisor, with over 850 professionals globally and dedicated
industry teams in more than 45 countries. We have closed
1,700 transactions in the past five years.
OAKLINS – Spot On · Enterprise SaaS · February 2021 14Oaklins disclaimer This report is provided for information purposes only. Oaklins and its member firms make no guarantee, representation or warranty of any kind regarding the timeliness, accuracy or completeness of its content. This report is not intended to convey investment advice or solicit investments of any kind whatsoever. No investment decisions should be taken based on the contents and views expressed herein. Oaklins and its member firms shall not be responsible for any loss sustained by any person who relies on this publication. © 2021 Oaklins. All rights reserved. Oaklins is the collective trade name of independent member firms affiliated with Oaklins International Inc. For details of the nature of affiliation, please refer to www.oaklins.com/legal.
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