Pagero

Company details

Year Aquired

2017

Location

Sweden

Revenue (2020)

442 m

Sector

SaaS, Compliance

Employees

697

Investment Themes

Tech-Enabled Transformation

Contact

If you want to know more about Pagero please contact Christian Melby at: christian.melby@summaequity.com

Pagero at a glance

Pagero develops and markets Pagero Network, a cloud-based platform, commonly referred to as a business network, that enables customers to send, receive, and handle documents electronically with accurate data in the purchase-to-pay, order-to-cash, and logistics-to-pay processes. The company is a global leader operating in a growing market supported by digitalization, ESG and regulatory tailwinds. Pagero has more than 85% recurring revenue, customers in 140+ countries, low churn (2-3%), more than 5m transactions per month, and a network that reaches 12m companies directly or via roaming agreements.

 

Key developments in 2021

2021 was an action-packed year for Pagero, with the acquisition of Gosocket followed by the IPO being some of the key developments. The Gosocket transaction allowed Pagero to expand its footprint into LatAm and create a truly global player. Pagero also grew organically, signing new agreements with blue chip customers, including several Top-10 global tech companies. ARR growth was 41% during 2021, and the customer base grew by 61%. The year also saw continued investment in R&D, and several new features were added to the platform.

Impact dimensions

The challenges we face

Compliance, efficiency, and waste reduction are increasingly important business considerations. A transaction between businesses normally sees the exchange of orders, delivery information, invoices, payments and other business documents. A lack of standardization for business communications and the existence of multiple, closed business networks has led to many trading partners being unable to communicate digitally. Consequently, businesses are struggling to optimize the use of their resources while meeting increasingly stringent compliance and reporting requirements and reducing paper waste.

 

 

What is the outcome?

The product improves business regulatory compliance and helps reduce the VAT gap and increases tax recovery and thus benefits governments worldwide. Moreover, it improves efficiency by automating global format and standards translations and by eliminating errors and busywork in important sectors, e.g., the healthcare and the public sector, where Pagero has a large customer base. This also helps reduce the environmental footprint by reducing paper use.

 

Who are the stakeholders?

Pagero’s corporate clients experience efficiency gains, and so do their suppliers who also interact with the network. Governments benefit from improved VAT collection. Finally, the environment benefits through reduced paper use.

 

How big is the effect, and does it last?

Pagero’s solutions can help mitigate non-compliance, VAT loss and inefficiencies through 74k client accounts across 140 markets. Customers can achieve a 60-80% cost reduction, fewer document errors, and improved regulatory compliance .

 

If Pagero didn’t exist…

Pagero's vision is to build the largest, open business network which will enable more governments and businesses to achieve 100% digital document flows. Without Pagero's services, managing regulations in multiple markets is a cumbersome process for any business. There are alternative solutions to Pagero, but arguably none with the same ease of use and price/performance ratio.

 

Impact risk: what can go wrong?

Data protection, cybersecurity and disruption to services are significant issues in the industry. To remain at the forefront with regards to technology, Pagero expanded their R&D team and invested over 250k hours into developing their platform during 2021. Moreover, the company are ISO 27001 data security and ISO 27701 data protection compliant and was able to maintain zero downtime, with no security breaches across the Pagero Network throughout the year.

 

Year Aquired

2017

Revenue (2021)

442 m

Employees

697

Investment Themes

Tech-Enabled Transformation

Sector

SaaS, Compliance

Location

Sweden

Contact

If you want to know more about Pagero please contact Christian Melby at: christian.melby@summaequity.com

Website

Video

SDG Alignment
SDG Wheel
SDG 12
SDG 16
KPI reporting
SDG 8

REVENUE (SEKm)

2021
+27%
442
2020
349
2019
311
SDG 16

CLIENT ACCOUNTS IN PAGERO NETWORK (k)

2021
+58%
79K
2020
50k
2019
38k
SDG 16

NUMBER OF MARKETS

2021
+4%
140
2020
135
2019
124

Learn more about Pagero

Summa Equity invests in Pagero Group

Summa Equity invests in Pagero Group, a company that develops and markets Pagero Online, a cloud-based network platform for communication of business documents within the purchase-to-pay, order-to-cash and logistic-to-pay (TMS) processes. Summa Equity becomes the largest shareholder. CEO Bengt Nilsson and management will remain invested alongside Summa Equity. Christian Melby, Partner at Summa Equity, said: “In our extensive…

Read the story

Summa Equity invests in Pagero Group

Summa Equity invests in Pagero Group, a company that develops and markets Pagero Online, a cloud-based network platform for communication of business documents within the purchase-to-pay, order-to-cash and logistic-to-pay (TMS) processes. Summa Equity becomes the largest shareholder. CEO Bengt Nilsson and management will remain invested alongside Summa Equity. Christian Melby, Partner at Summa Equity, said: “In our extensive...
Learn more