Global private equity firm Advent International has announced a significant investment in Skyone, a Brazilian software company specializing in cloud, data, and artificial intelligence solutions. This Series C funding round, with an undisclosed amount, is aimed at accelerating Skyone's expansion and solidifying its market leadership. The capital injection will support the company's ambitious plans for product innovation, strategic acquisitions, and international growth.
A Strategic Partnership for Growth
The investment marks a pivotal moment for Skyone, which has demonstrated consistent growth of 40% annually and expanded its revenue tenfold since 2018. Ricardo Brandão, Skyone's co-founder and CEO, noted that the company sought a partner with a global footprint to help unlock new avenues for growth, particularly through acquisitions. Advent, which has been monitoring Skyone's progress since 2022, found the company had reached the ideal scale and maturity for a strategic partnership.
For Advent International, this move aligns with its global focus on the software sector, a business model known for its scalability and recurring revenue. Brenno Raiko, a partner at Advent, highlighted that Skyone is perfectly positioned to capitalize on the macro trend of artificial intelligence adoption by businesses. The investment was made from Advent's LAPEF VII fund, a $2 billion vehicle dedicated to Latin America, underscoring the region's technological potential.
Fueling Innovation and Expansion
The new capital is earmarked for a three-pronged growth strategy, beginning with significant enhancements to its product suite. Skyone plans to bolster its Autosky cloud management platform and heavily invest in the AI capabilities of its Skyone Studio data platform. This focus on innovation is designed to help clients better leverage their data and automate complex processes using advanced AI agents.
A substantial portion of the funds will also be directed towards strategic mergers and acquisitions to accelerate inorganic growth. Having previously acquired smaller firms, Skyone now aims to target companies with revenues between $3.7 million and $18.8 million. This upscaled M&A strategy, supported by Advent's expertise, will enable the company to rapidly expand its technological capabilities and market share.
Strengthening Global Footprint
International expansion is a key pillar of Skyone's future, with the company already operating in 35 countries and generating over 20% of its revenue abroad. The immediate focus will be on strengthening its presence and establishing a more structured operation across North and Latin America. This targeted approach aims to deepen market penetration in the Americas before exploring new frontiers in the coming years.
Advent's extensive global network is expected to be a critical asset in achieving these international ambitions. By leveraging Advent's resources and on-the-ground presence in various markets, Skyone can more effectively navigate its expansion. This strategic support will be instrumental in transforming its existing international presence into a more dominant and structured global operation.
Skyone's Market Position and Offerings
Founded in 2013, Skyone has built a robust platform that serves over 25,000 end-users through a network of 400 partners. The company has successfully scaled its operations to serve large enterprise clients, including major names like Cobasi, Malwee, and Fortbras Autopeças. With an annual revenue approaching $75.3 million, Skyone has proven its ability to balance rapid growth with profitability.
The company's success is built on its two core product lines: Autosky, a multicloud migration and management system, and Skyone Studio, a comprehensive data and AI platform. Together, these solutions provide an integrated ecosystem for businesses to accelerate their digital transformation journey. The deal structure sees Advent becoming a major shareholder, while founders and previous investors like Henkan and Bewater retain significant stakes.
This strategic investment by Advent International propels Skyone into a new era of accelerated growth and innovation. The partnership provides the financial backing and global expertise necessary for the company to enhance its AI-driven solutions and expand its international reach. As businesses worldwide continue their digital transformation, Skyone is now better positioned than ever to lead the charge in the cloud and AI sectors.