• Targets Spain, Germany, the UK, North America and Australia
• Seeks peers with up to EUR 4m in revenues
• Could raise additional funds with Eurazeo

Kinvent, a French-Greek developer of data solutions for physiotherapists, is holding discussions with three potential acquisition targets, founder and Chairman Athanase Kollias said.

The timing for Kinvent’s next acquisition is unclear at the moment and depends on whether targets would match with the company, Kollias said.

Kinvent’s management plans to mandate a financial advisor to originate new deals and is open to pitches, he said.

Headquartered in Montpellier, Kinvent registered close to EUR 7m revenue last year and has been profitable since 4Q23, he said. It secured EUR 16m as it welcomed private equity (PE) firm Eurazeo as a new minority investor last month with Clipperton advising, as reported.

The company will use the proceeds to fund R&D and international growth, notably by acquiring peers in Europe, North America and Australia, Kollias said.

The US is the second biggest market for Kinvent after France, and the company is currently structuring a local team of five people on the East Coast, in New York and Florida, he said. In Europe, it will especially focus on Spain, Germany and the UK, he added. In Poland, China, Japan and South Korea, Kinvent would rather work with local distributors than sell its products directly, he added.

Kinvent aims to focus on profitable or about-to-break-even companies, with EUR 1m to EUR 4m in revenues, he said. It will mainly look into peers, experts in online training for physiotherapists and distribution networks, he added.

EUR 23m in total funding

Kinvent might raise additional funds from backer Eurazeo in the future but does not need to at the moment, Kollias said. It does not plan to raise debt for its M&A strategy but could if needed as local banks Caisse d’Epargne and Crédit Agricole have been supporting the company for the last two to three years and would consider funding acquisitions, he added.

Ahead of the EUR 16m raised this year, Kinvent secured EUR 1m in 2019 from Greek venture capital firm Uni.Fund and business angel network Les Business Angels des Grandes Ecoles (BADGE), he said. This was followed by a EUR 6m funding round in 2021 with Bpifrance, Sofilaro, several business angels as well as existing investors BADGE and Uni.Fund, as reported.

Eurazeo is the lead investor in Kinvent, Kollias said, adding that a bit more than 50% of the business is held by funds while the founding members, mainly Kollias, own the rest.

Established in 2017, Kinvent owns a production line in Thessaloniki, Greece, he said. It manufactures sensors that enable physiotherapists to evaluate their patients’ progress and implement reeducation programs, he said.

Kinvent, which has registered 80% annual revenue growth since 2018, has 75 employees and around 15,000 physiotherapists use its solutions, Kollias said.

As peers, he named US-based health intelligence platform Sparta Science and Hawkin Dynamics, as well as Strength By Numbers. Last March, Sparta Science raised an additional round of funding led by Spring Lake Equity Partners, which also included General Purpose Venture Capital (GPVC), and brought the company’s total funding to USD 34m, as reported.