• Deal financed by bank financing and equity
• Targets EUR 15m revenues at exit in two to three years

Germany’s moveXM, an  SaaS provider for customer experience management (CXM), is in the final stages of negotiations to close its third acquisition of 2024, CEO Holger von Seherr-Thoß told Mergermarket.

The target, a European company with revenues in the single-digit million euros, is in the field of customer service, and it is expected to expand moveXM’s reach into two new undisclosed verticals, von Seherr-Thoß said.

The deal is expected to close at the beginning of 4Q24 and will be financed with a mix of bank financing and equity from moveXM’s existing shareholders, he said.

The company has not mandated a financial advisor and is supported by its investor Pride Capital’s network, he said.

MoveXM two previous acquisitions wereInceptivize, a Dutch SaaS provider for customer experience measurement specialising in customer feedback in the social-housing sector, which was announced in August; and Feeddex and 5-Star Specialist, Dutch SaaS companies specialised in customer and employee feedback and customer review software, announced in March.

Following its latest deal, moveXM will focus on the integration of the acquired companies over the next 12 to 18 months, although opportunistic deals will remain on the agenda, von Seherr-Thoß said.

Further acquisitions would make sense to further strengthen moveXM’s presence in Germany and to gain skilled employees, he said. German-speaking countries and Benelux are moveXM’s current geographical focus, while the Nordics is an attractive expansion area, he added.

Family-owned businesses with succession issues could be of interest, he said, adding the company plans to look at larger deals involving targets with more than EUR 10m in revenues.

The company’s build-and-buy strategy is expected to make moveXM ready for an exit in two to three years, Seherr- Thoß said. Pride Capital holds a minority stake in the company, while the majority is in the hands of the founder and the management team, he added.

At the time of the exit moveXM should generate approximately EUR 15m in revenues, Seherr- Thoß said. Its current revenues are above EUR 10m and the annual average organic growth rate is 10%, he added. The company is profitable and has 80 employees, he said.

MoveXM has developed a software-supported CXM to enable companies to measure, analyze and improve their customer experience. Its customer base includes international players of various industries and sizes, such as VW, BMW, Mewa and Provinzial, according to a company press release.

MoveXM was founded in 1995 and von Seherr-Thoß joined five years ago. Pride Capital started supporting the company in 2021 and in 2022 it acquired a substantial minority stake.