Clearwater advises PHC Software on its sale to Cegid

Transaction

PHC Software sold to Cegid

Sell-side

Undisclosed

Role

Adviser to PHC Software on its sale to Cegid

Sector

Tech & Tech Services

Region

Portugal

We have advised the shareholders of PHC Software, a Portuguese company specialising in the development and distribution of business software solutions, on its sale to Cegid, a European leader in cloud business management solutions for finance (Accounting, Tax, ERP), human resources (payroll, talent management), CPAs, retail, and entrepreneurial sectors.

Founded in 1989, PHC Software has built a strong reputation in the Portuguese market for delivering high-quality, reliable solutions tailored to the needs of businesses. PHC Software is a key player in the Portuguese SME market offering a broad and adaptable range of management solutions. These solutions are specifically designed to address critical areas for medium-sized companies across diverse industries.

With a team of over 260 employees across its offices in Lisbon, Porto, Madrid, Maputo, and Luanda, the company reported a turnover of €17.6m in 2023. The company’s extensive distribution network includes over 315 certified partners, and its solutions are trusted by 170,000 users in approximately 37,000 client companies.

This strategic integration of PHC Software into Cegid will strengthen the company with the investment resources to enhance PHC’s solutions and accelerate its growth trajectory. Alongside this, it will drive Cegid’s expansion in the rapidly growing SMB cloud business management software market across Europe. The acquisition of PHC Software builds on Cegid’s recent advancements in France with the acquisition of EBP, in Spain with the acquisition of Microdata and an exclusive agreement in Germany with sevdesk.

This agreement is strategic for PHC’s future. When we considered the company’s growth path, we knew it would involve integration into an international company that values our culture and brings investment capabilities at a global level. Among several interested parties, Cegid stood out as the best positioned to provide this future for PHC, with appreciation and preservation of our culture, the PHC CS and PHC GO solutions and human capital.

We would like to express our gratitude to the Clearwater team for their unwavering dedication and expertise throughout this process. Their guidance was instrumental in ensuring a successful transaction and positioning PHC Software for a strong and promising future.
Ricardo Parreira, Founder, PHC Software

My team and I are excited to join Cegid, whose technology and market vision will strengthen our growth agenda and make our PHC portfolio even more robust. Together, we will continue to serve our customers across the region. Our best-in-class channel network, comprising over 300 partners that we have developed in recent years, will also benefit from the upcoming synergies.
João Sampaio, General Manager, PHC Software

PHC Business Software, with its 262 employees and management team, aligns perfectly with Cegid. We will leverage PHC's key assets and support their impressive growth with value-added technologies such as Generative AI to better serve the market; our Braga based AI Center of Excellence will be naturally mobilized to that effect. This acquisition strengthens Cegid's position as a leader not only in Iberia but also across Europe in the SMB segment.
Pascal Houillon, CEO, Cegid

We are thrilled to have played a key role in supporting our client throughout this transaction, helping them identify the ideal partner for PHC Software and its team, driving their growth trajectory forward. By joining forces with Cegid, PHC Software gains access to transformative opportunities within the technology sector, positioning the company for continued innovation, expansion, and long-term success. This partnership marks a significant milestone in the evolution of PHC, underscoring the strategic importance of collaboration in the fast-paced tech industry.
Rui Miranda, Partner, Clearwater

We’re incredibly proud to have advised the shareholders of PHC in this process. Ricardo, Francisco, Miguel, and Rute have built an outstanding company with exceptional performance and a unique culture. From our very first interaction with their executive team, it was clear we were partnering with one of the most talented teams in Portugal.

Together with PHC, we assembled a stellar deal team to execute a meticulously planned process, ultimately finding the perfect new home for PHC. The selection process was highly competitive, and Cegid stood out with its compelling vision to support PHC’s growth journey and strengthen its market position. Cegid’s value-added, tech-driven strategy, particularly its focus on GenAI, will undoubtedly unlock PHC’s immense potential.

We wish the entire PHC team and Cegid continued success in this exciting new chapter.
Afonso Lima, Director, Clearwater