Avangate bought by private equity

Acquisition by tech VC outfit Francisco Partners sets e-commerce specialist Avangate up for future growth

Customer-centric commerce software specialist Avangate has been bought by technology-focused venture capital firm Francisco Partners in a bid to ramp up its growth plans.

The acquisition sets up Avangate – which rebooted its EMEA operation earlier this year in a bid to give e-commerce rivals such as Netsuite a run for their money – for expansion outside its domestic, US, market, particularly in Europe, where CEO Carl Theobald said he saw strong growth potential, particularly through channels.

Francisco Partners, which has around $7bn worth of assets under management, picked on Avangate due to its position at “the convergence of digital goods commerce and subscription billing” according to principal My Le Nguyen.

Speaking to MicroScope, Theobald said the purchase opened up a variety of options for the firm, a future IPO being one, although he emphasised that would be a long term option.

“Our focus will be on running the company as effectively as possible with the emphasis on growth,” he said. “Francisco is investing in a high-growth company whose strategy, vision and team they believe in. Nobody is in any hurry to find an exit.”

Financial terms of the deal were not disclosed.



Find more MicroScope+ content and other member only offers, here.

Read more on Customer Relationship Management (CRM) Services

Start the conversation

Send me notifications when other members comment.

By submitting you agree to receive email from TechTarget and its partners. If you reside outside of the United States, you consent to having your personal data transferred to and processed in the United States. Privacy

Please create a username to comment.



  • CIO Trends #6: Nordics

    In this e-guide, read how the High North and Baltic Sea collaboration is about to undergo a serious and redefining makeover to ...

  • CIO Trends #6: Middle East

    In this e-guide we look at the role of information technology as the Arabian Gulf commits billions of dollars to building more ...

  • CIO Trends #6: Benelux

    In this e-guide, read about the Netherlands' coalition government's four year plan which includes the term 'cyber' no fewer than ...