Silverfin Acquisition: Key Details, Impact, and What Comes Next

Visma's acquisition of Silverfin marks a significant milestone in the cloud accounting industry. This strategic move not only enhances Visma's presence in Belgium but also solidifies its position as a leading provider of cloud accounting software in Europe. The integration of Silverfin's innovative post-accounting solutions is expected to drive further growth and technological advancements in the sector.

What Is Silverfin?

Founded in 2013, Silverfin offers a cloud-based platform for financial reporting and compliance, targeting accountants and accountancy firms. Its core products include Working Papers, Financial Statements, Management Reports, and Tax Computations. Unique selling points include real-time data availability, a low-code platform, and comprehensive solutions that integrate with over 50 leading financial software sources. Silverfin's customizable platform automates repetitive tasks, streamlines workflows, and enhances collaboration through integrated tools.

Who Acquired Silverfin?

Visma is a prominent provider of business software solutions, dedicated to simplifying the work lives of entrepreneurs, businesses, and societies. The company offers a range of products, including cloud software, ERP suites for medium businesses, and specialized tools for the public sector and accounting offices. With a strong presence in 33 countries and a customer base of 2.0 million, Visma has established itself as a significant player in the industry, boasting a total revenue of EUR 2.7 billion in ARR as of Q4 2024.

When Was Silverfin Acquired?

Visma acquired Silverfin on September 25, 2023. This acquisition comes at a time when the cloud accounting industry is rapidly evolving, with a strong emphasis on automation and AI to enhance efficiency and accuracy. The deal aligns with the broader trend of increased private equity investment in the sector and the strategic expansion of market presence, particularly in Europe and the UK. This move is expected to accelerate Silverfin's growth and innovation in cloud technology.

Why Was Silverfin Acquired?

• Market Expansion: The acquisition significantly increases Visma’s presence in the Belgian software sector and strengthens its position as Europe’s cloud accounting software champion. Silverfin has expanded to 15 countries, including the UK, where it launched in 2019, and serves nearly 320,000 end clients.
• Technology Integration: Silverfin is a cloud-native provider of post-accounting software, pioneering the use of new technologies such as AI for post-accountancy products. The platform connects siloed data, automates compliance workflows, and streamlines reporting, which will be integrated into Visma’s offerings to enhance efficiency and innovation.
• Competitive Advantage: Silverfin’s platform enables accountants to improve efficiency, competitiveness, and profitability in compliance and reporting services, and powers the development and delivery of new advisory services. This technological edge, along with a strong customer base that includes the Big 4 accounting firms, provides Visma with a significant competitive advantage in the market.

Acquisition Terms

• Acquisition Price: The acquisition price was €300 million.
• Payment Method: The payment method was not publicly disclosed.
• Key Conditions or Agreements:
  • Visma typically allows acquired companies to retain their brand identities and operate autonomously.
  • Silverfin will continue its current product roadmap and strategy.
  • The acquisition aims to leverage Visma's network and resources to support Silverfin's growth, particularly in the UK market.
  • Hg, a private equity group, increases its stake in Silverfin as part of the deal.

Impact on Silverfin

The acquisition of Silverfin by Visma has led to notable changes in operations and management. Silverfin will continue to operate independently under the Visma umbrella, retaining its brand identity and management team, including CEO Lisa Miles-Heal. This approach aligns with Visma's strategy of allowing acquired companies to maintain autonomy while benefiting from Visma's extensive resources and network. The integration is expected to accelerate Silverfin's growth, particularly in the UK market, and enhance its innovative capabilities in AI and automation.

Product offerings and services are set to expand as Silverfin leverages Visma's expertise and market reach. The acquisition will enable Silverfin to distribute its cloud platform to a broader audience, enhancing its market presence and product capabilities. Employee reactions have been positive, with leadership expressing excitement about the opportunities ahead. Customers, including the Big 4 accounting firms, are expected to benefit from improved services and support. For founders considering business transitions, tools like Sunset can assist in managing such processes compliantly and efficiently.