British investment fund Bridgepoint has acquired the French flagship company LumApps, according to a press release published on May 27. This is one of the largest deals in the French Tech sector in recent months. Bridgepoint’s objective is clear: to make LumApps a global leader in intranet solutions.
LumApps, a future giant?
LumApps is a French startup founded in 2012 and based in Tassin-la-Demi-Lune, near Lyon. It is a software publisher specializing in intranets. From email and calendars to video conferencing and expense reports, the company’s platform aggregates all the business applications needed by employees.
Around a hundred applications, developed by Microsoft, Google, Salesforce, and Cegid, are supported. The company currently serves 700 businesses and 5 million users, 40% of whom are located in the United States.
Large corporations such as Veolia, Airbus, and LVMH use its solution. In short, LumApps already enjoys a strong position in the intranet market. For Bridgepoint, this is therefore a good deal.
The previous shareholders—Goldman Sachs, Eurazeo, Iris Capital, and Bpifrance—have agreed to sell their stakes. Meanwhile, around fifty of the company’s executives are participating in the new transaction, including the CEO, Sébastien Ricard.
The $650 million acquisition is expected to close in July. Sébastien Ricard, also its founder, explained that ” this is a powerful symbol after our Series A, B and C funding rounds, the acquisition of 4 startups, and achieving profitability .”
He hopes that ” Bridgepoint will allow us to quickly assert our technological leadership by continuing our R&D, and accelerating our development in Europe, the United States and Japan .”
Bridgepoint’s resources and portfolio should indeed allow the Lyon-based company to accelerate its development. In 2024, it aims for €80 million in revenue, compared to €33.1 million in 2022. The ultimate goal is to become a unicorn by 2025.
Bridgepoint continues its expansion on the old continent
With 350 employees, LumApps plans to recruit 160 to 200 people over the next four years to support its technological development and meet market demands. According to Bridgepoint, this market represents €9 billion and is growing by 15% annually.
The competition is fierce. But this doesn’t deter the British fund, which aims to make its new company a giant in the sector. Beyond this consideration, LumApps represents a further step in Bridgepoint’s development.
This is its seventh acquisition. ” By leveraging our strong European presence and expertise, we are delighted to support LumApps in its mission to become the leading employee engagement platform ,” said David Nicault, partner at Bridgepoint.
The investment firm currently manages €62 billion in assets. It is also behind the recent acquisition of Nexity’s property management business and already has a foothold in the tech sector, notably with Calypso.
This acquisition also brings a welcome breath of fresh air to a rather gloomy year for European startups. Since the end of the Covid-19 pandemic, inflation and rising interest rates have dampened investor enthusiasm , resulting in a drop in funding.
Several startups, like Rent A Car, have narrowly avoided disaster. Others, such as Back Market, are much more cautious. Few French Tech companies have been sold for as much as LumApps. It remains to be seen whether this transaction will lead to a return on investment.
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