Summit Partners backs Odoo

Odoo, a provider of business software, has secured 180 million euros in funding from Summit Partners.

Odoo, a provider of business software, has secured 180 million euros in funding from Summit Partners. As a result of this transaction, Odoo’s previous backers Sofinnova Partners and XAnge have exited Odoo.

PRESS RELEASE

Ramillies, Belgium – Odoo, a leader in open source all-in-one business software, today announced a €180M investment from growth equity investor Summit Partners. The transaction represents an exit for investors Sofinnova Partners and XAnge who invested in the Company in 2010 and 2015, respectively. Odoo is the first IT unicorn in the Wallonia region of Belgium.

With 7 million users worldwide, Odoo is one of the most popular business management software solutions in the world. The Company’s SaaS offering includes applications covering all business needs: accounting, inventory, manufacturing, project management, HR, marketing, website builder and more. Odoo’s vision is to streamline operations for small and medium-sized enterprises, by offering accessible, affordable solutions.

“Odoo has delivered sustained, strong and profitable growth over the course of the last several years, and this momentum has only accelerated in recent months,” said Antony Clavel, a Managing Director at Summit Partners who joined the Odoo Board of Directors upon Summit’s initial investment in the Company in December 2019. “We are excited to continue our partnership with the Odoo team and believe the Company is positioned to transform the landscape of business software.”

Odoo is more than an overnight success. From its bootstrapped founding in 2005, Odoo reached considerable scale with limited external funding; prior to Summit’s initial investment in 2019, the Company had raised just €10M in two rounds. Odoo today is the result of a relentless focus on building a great product and a strong community. This focus has resulted in a sustained average billing growth rate of more than 50% per year over 10 years.

Today, Odoo has a team of 1700 employees, an accelerating growth rate and forecasted billings of €160M in 2021 – and the Company is profitable. With 3,850 partners and 90,000 community members working with the software, Odoo has built a strong global ecosystem. The Company also has one of the biggest business app stores in the world, with more than 30,000 apps.

“This transaction is a signal – a signal that open source business models are not limited to technical products that serve only developers or system administrators,” said Fabien Pinckaers, Founder & CEO, Odoo. “Over the course of the last 15 years, open source software has been a catalyst for growth and change in the IT industry. Now, it has the maturity to transform business software too.”

“We are thrilled to support the Odoo team for this next phase of growth,” added Han Sikkens, Managing Director and Head of Europe at Summit Partners, who has joined the Company’s board with this investment. “We believe the future is bright, and Odoo clearly has the potential to disrupt the market led by software giants like SAP, MS Dynamics and Oracle.”

About Odoo:
Odoo is a leading provider of all-in-one, open source business software for small and medium sized businesses worldwide. Founded in 2005, Odoo thrives in a unique and fully open ecosystem combining the resources of its community and partners to deliver a full range of easy-to-use, integrated and scalable business applications. For more information, please visit www.odoo.com.

Key Figures:
Founded in 2005 – 7 million users worldwide – Forecasted billing of €160M in 2021 – 1700 employees globally – 3850 partners with 90,000 Odoo related jobs created in 150 countries – 10 offices (3 in Belgium, Luxembourg, Hong Kong, India, San Francisco, New York, Dubai, Mexico).

About Summit Partners:
Founded in 1984, Summit Partners is a global alternative investment firm that is currently managing more than $28 billion in capital dedicated to growth equity, fixed income and public equity opportunities. Summit invests across growth sectors of the economy and has invested in more than 500 companies in technology, healthcare and other growth industries. Notable technology and software companies financed by Summit Partners include Acturis, Avast, Darktrace, FLEETCOR, Flow Traders, Infor, Klaviyo, Ogone, RELEX Solutions, Smartsheet and Trintech. Summit maintains offices in North America and Europe, and invests in companies around the world. For more information, please visit www.summitpartners.com.