Sofacto Joins PSG-backed billwerk Group
Acquisition follows recent combination with Reepay to create a pan-European leader in the subscription management & recurring billing market
PARIS - billwerk Group (“billwerk”), a leading European provider of subscription management and recurring billing software solutions, today announced the acquisition of Sofacto, a leading French Salesforce.com technology-based subscription management and recurring billing application provider.
PSG, a leading growth equity firm that focuses on partnering with middle-market software and technology-enabled services companies, will continue to hold a controlling stake in the billwerk Group, which also includes Reepay, a leading Danish cloud-based SaaS platform that allows companies to manage their payment processes and subscriptions.
Available on the AppExchange, the B2B application marketplace of the world leader in SaaS CRM, Sofacto’s subscription management and recurring billing application is built on and fully integrated with the Salesforce Lightning platform, allowing customers to manage billing, invoicing, subscriptions and payments directly within their CRM. Headquartered in Montpellier, the eponymous application is used by over 165 enterprises in France and their subsidiaries abroad.
The addition of Sofacto to the billwerk Group is expected to expand the group’s product offering by integrating the Salesforce ecosystem into the group’s existing suite of software solutions. Furthermore, Sofacto’s leading market position in France is expected to add to billwerk and Reepay’s strong presence in the DACH and Nordic regions respectively and support the platform’s ambitions of becoming a pan-European leader in the recurring market economy.
Following the transaction, Frederi Scotto, CEO of Sofacto, will continue to lead the company and plans to work closely with Dr. Ricco Deutscher, billwerk Group CEO, to integrate Sofacto into the billwerk platform.
Dr. Ricco Deutscher, Group CEO and Co-Founder of billwerk, said: “We are excited to be further strengthening billwerk’s product offering with the addition of Sofacto. As well as providing the existing platform with Salesforce integration, we believe the acquisition provides the group with a strong foothold in the French market which we expect will support us in meeting our goal of becoming the European leader in subscription management.”
“We are looking forward to working closely with the billwerk and PSG teams, who we believe are the right partners to support the next phase of Sofacto’s growth,” added Frederi Scotto, CEO of Sofacto. “We share Ricco and the team’s ambitions of creating a leading subscription management provider in Europe and are excited to be a part of billwerk’s journey going forward.”
Romain Railhac, Managing Director at PSG, said: “We believe that there is huge growth potential in the European subscription management market as companies continue to digitalise their business models. Adding Sofacto to the billwerk platform represents the next step in creating a scaled European player offering leading solutions to support businesses by growing and optimising their subscription and payment management operations.”
PSG announced its majority growth investment in billwerk, headquartered in Frankfurt, in May 2021. In November 2021, billwerk announced that it had joined forces with Reepay to create a leading pan-European software provider of subscription management, billing and payment solutions to subscription businesses and webshops of all sizes.
The financial terms of the transaction are not disclosed.
About billwerk
billwerk was founded in 2015 by Dr. Ricco Deutscher and his Co-Founders. With its subscription management platform, billwerk provides a significant part of the digital value chain for recurring business models. Today billwerk employs close to 70 employees across its headquarters in Frankfurt, Germany, and offices in Minsk, Belarus and Gdansk, Poland. Its subscription management platform is currently used by several hundred midsize and enterprise customers as well as fast expanding start-ups across Germany, Switzerland and France, with a growing presence in other European regions including the Nordics and Benelux. billwerk was awarded the Deloitte Technology Fast 50 Award in 2021, making it one of the 30 fastest-growing tech companies in Germany. To learn more, visit billwerk.io.
About Sofacto
In the age of the Subscription Economy, Sofacto is one of the first SaaS applications for managing subscriptions & their recurring billing that is fully integrated with Salesforce CRM. Quick to deploy and highly customisable, it enables management of the billing cycle by automating key processes initiated during the sales cycle. Its functionalities bring front and back-office teams closer together by completing their 360° vision of the customer: from the incoming lead converted to the revenue generated throughout the customer's life, collected to date, embedded and future. Sofacto is headquartered in Montpellier, France and currently employs 20 people. Its eponymous application is used by companies of all sizes and in all sectors of activity. To learn more, visit sofacto.com.
About PSG
PSG is a growth equity firm that partners with middle-market software and technology-enabled services companies to help them navigate transformational growth, capitalize on strategic opportunities and build strong teams. Having backed more than 95 companies and facilitated over 375 add-on acquisitions, PSG brings extensive investment experience, deep expertise in software and technology and a firm commitment to collaborating with management teams. Founded in 2014, PSG operates out of offices in Boston, Kansas City and London. To learn more about PSG, visit www.psgequity.com.