IFS enterprise software valued at EUR 15 billion

Enterprise software provider IFS announced it has surpassed a valuation of EUR 15 billion. The valuation was achieved as part of a transaction where Hg is increasing its stake to become a co-controlling shareholder alongside EQT. Abu Dhabi Investment Authority (ADIA) and Canada Pension Plan Investment Board (CPP Investments) are joining as new minority investors.

IFS, which offers cloud enterprise software and industrial AI applications, also reported that its annual recurring revenue (ARR) surpassed EUR 1 billion last year. The company's total revenue reached over EUR 1.2 billion in 2024, marking a year-on-year growth of more than 30 percent. IFS stated that major industrial companies are increasingly adopting its solutions.

The company attributed the significant demand increase to its AI capabilities, particularly IFS.ai, which is being implemented across sectors such as Aerospace & Defence, Engineering & Construction, and Manufacturing. IFS plans to further expand the application of generative and agentic AI to automate workflows and enhance efficiency for its customers.

Over the past year, IFS has acquired more than 350 new customers, including energy company Exelon and Rolls-Royce. The company noted that the average deal size for its largest enterprise customers grew by 64 percent. The transaction is subject to customary regulatory approvals and is expected to close by the end of the second quarter of 2025.