Enterprise program huge Visma valued at $19B in advance of likely 2023 IPO

Norway-based organization program maker Visma AS, whose goods are utilised by extra than 1.1 million organizations around the globe, is now truly worth $19 billion following a secondary share sale.

The company disclosed the sale late Thursday. This morning, Visma built one more announcement, stating that it is weighing options to go community in 2023. “We are thinking about an IPO in the course of 2023, of study course supplied that industry disorders are favourable,” a business spokesperson informed Reuters. “The Oslo Stock Exchange could be a good option.”

With its new $19 billion valuation, Visma is just one of the most worthwhile privately held corporations in the company program business.

Visma delivers cloud-based mostly apps that organizations use to execute essential organization responsibilities this kind of as recruiting, accounting and controlling their provide chains. The company’s extra than 1.1 million consumers variety from little companies to substantial enterprises and governing administration companies. Visma created revenues of about $1.9 billion euros, or somewhere around $2.25 billion, in the 12 months through June 2021, not only from its cloud purposes but also technological innovation consulting products and services that it sells along with its program.

In the secondary sale the organization introduced late Thursday, Aeternum Cash, Norway’s Governing administration Pension Fund and Vind each acquired stakes ranging from from .4% to .6%. 

Visma’s new $19 billion valuation is a big get for its existing investors. The sum is far more than 50% greater than the $12.2 billion valuation that Visma obtained immediately after an investment past calendar year, which in change was much more than triple the $3.5 billion the software package maker was well worth in 2014. Visma’s most important trader is non-public equity business Hg, which owns a the vast majority stake.

A potential inventory market place debut could potentially even more improve Visma’s by now steep valuation, as properly as present it entry to more money for fueling progress initiatives. The corporation tends to make substantial use of acquisitions as portion of its progress technique: Visma has bought far more than 35 corporations because 2016 alone. The funds from a potential preliminary community offering would give the organization extra means for potential strategic acquisitions.

As a result of a combination of in-residence software package improvement and acquisitions, Visma has created a big assortment of merchandise throughout the market place segments the place it competes.

In the procurement program industry, the enterprise supplies applications that enterprises use for responsibilities ranging from handling their warehouses to putting orders with suppliers. Visma also presents a so-called procurement pooling services that offers clients entry bargains negotiated in progress by the application maker.

In the accounting segment, Visma gives a cloud-centered accounting platform for smaller and midsize firms, equipment aimed at startups and a vary of more sophisticated finance items developed for massive enterprises. The software package maker also has a large collection of human assets tools, as nicely as extra programs spanning other segments. 

Visma is not the only privately held business software package giant that has elevated the prospect of a inventory market listing not too long ago. A few months back, foremost analytics supplier SAS Institute Inc., which is owned by its founders, declared ideas to go community in 2024. The announcement arrived a few weeks right after the organization is explained to have backed out of talks to be acquired by Broadcom Inc. in a deal that would have reportedly valued it at $15 billion to $20 billion. 

Image: Visma