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IFS Attracts EUR 15 billion Valuation as Demand for Industrial AI Soars

  • Editor
  • 6 days ago
  • 2 min read

Whats Happening:

IFS, a cloud enterprise software and Industrial AI applications provider, has achieved a valuation of over EUR 15 billion. This comes as Hg increases its stake to become a co-control shareholder alongside EQT, with TA Associates remaining as a minority shareholder. New minority shareholders include a subsidiary of ADIA and CPP Investments. The transaction follows IFS's strong growth, delivering over EUR 1 billion in ARR last year.


Key Moves:

  • IFS achieves over EUR 15 billion valuation following AI-driven growth

  • Hg increases stake to become co-control shareholder alongside EQT

  • New minority shareholders include ADIA subsidiary and CPP Investments


By The Numbers:

  • IFS delivered over EUR 1 billion in ARR last year

  • Total revenue for 2024 was over EUR 1.2 billion

  • Average deal size of IFS's largest customers increased by 64% year-on-year


Key Quotes:

  • "IFS's success and sustained growth is centred around a commitment and track record of rapidly delivering business value to our customers," said Mark Moffat, CEO of IFS.

  • "It's a prime example of EQT's ability to 'run with the winners', where we partner with management teams over the long-term to scale regional players into global champions," added Johannes Reichel, Partner at EQT.

  • "Since our initial partnership in 2022 alongside EQT, Mark and the team have not only delivered impressive and consistent growth but have emerged as a global leader in Industrial AI," stated Jonathan Wulkan, Partner at Hg.


Bottom Line:

IFS's EUR 15 billion valuation underscores the growing demand for industrial AI applications and cloud enterprise software. The fund's success in delivering over EUR 1 billion in ARR and attracting major investors highlights its strong market position and potential for continued growth in the rapidly evolving industrial software sector.


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