In this day and age of digital living, most companies are shifting their services online. This year, due to the pandemic, accelerated this shift to digital. Berlin-based Spryker, which provides a full suite of e-commerce tools for businesses, witnessed notable growth. The company has raised a whopping €106.09M in its latest financing round.
Funding details and expansion plans
The latest funding of €106.09M for Spryker was led by TVC, which is a well-known investor that has previously backed notable companies such as Airbnb, Netflix, Facebook, Spotify, among others. Gopi Vaddi, general partner at TCV will be joining Spryker´s board of directors.
Previous backers of the startup, One Peak and Project A Ventures, also participated in the financing round. After the new funding round, the startup’s valuation exceeds €407.85M.
The company aims to use the fresh funds to expand its B2B and Enterprise Marketplace products, and create a 3rd party technology AppStore. Spryker also intends to grow its international footprint while keeping its focus on the U.S., which apparently already accounts for 10% of its annual software revenue.
With annual spending in digital commerce software pushing €5B, it is one of the most lucrative sectors to work in and Spryker aims to expand its market share in the segment. The company will also hire new team members.
Spryker: The modern platform-as-a-service solution
Spryker offers e-commerce PaaS solutions for its clients and it claims its offering to be the most advanced one with over 800 API-based modules. Founded in 2014 by Boris Lokschin and Alexander Graf, the company has over 150 global customers, employs over 190 people and has offices in three regions.
The startup says it can accelerate the deployment, time-to-value, and transformation period of transactional business models. This is possible thanks to the company’s headless and API-based architecture, which works in tandem with a modular packaged business capabilities (PBC) design. The cloud-native PaaS delivery model opens up further growth avenues for businesses that have outgrown SaaS and on-premise single-tenant models.
Spryker has also shown notable growth as its recurring revenue is claimed to have grown over 100% YoY. Its global team count is over 250 employees with over 35 nationalities, which work out of offices in Germany, USA, U.K., Netherlands, and Ukraine. Due to the pandemic, Spryker has offered remote-first options for its workforce. The company will expand its operations in the U.S. in early 2021.