MUNICH - July 19, 2017 - Customer care provider B2X announced today that it has successfully completed the first round of comprehensive financing with Seligman Private Equity Select. As a first tranche, the London-based private equity firm invested $5 million in the leading provider of customer care solutions for smartphones and IoT devices. In the second round of financing, which is currently being prepared, a further amount in the double-digit million range will be invested by other investors in B2X.
After a record result in the fiscal year 2016/2017 with revenues over 100 million euros and a growth of 25 percent, B2X plans to speed up its successful business development. “We have a well-filled sales pipeline with new business opportunities in the smartphone sector, and especially in the very exciting consumer IoT industry”, said Rainer Koppitz, Chief Executive Officer of B2X. “After this new round of investment, we will further strengthen our sales and marketing, enhance our technology platform, and financially support large upcoming customer projects.”
Many new business opportunities have opened up for B2X with its recently announced entry into the customer care market for IoT devices such as wearables and connected household appliances. While analysts predict that 6 billion smartphones will be in use across the globe in 2020, the number of IoT devices for consumers will grow to 14 billion. In order to finalize new business opportunities faster, B2X plans to expand its marketing and sales organization. B2X is already active in 140 countries as a global customer care provider, and is using the new capital to speed up growth with new customer projects and further develop its SMARTCARE technology platform especially in the area of Big Data.
“We are currently in the process of completing three very large customer projects in Brazil, the United States and Vietnam. We have a positive cash flow and the fresh capital of Seligman Private Equity Select gives us the opportunity to implement new projects even more quickly, which, in turn, will have a positive effect on our earnings in the current fiscal year”, said Ralf Grüßhaber, Chief Financial Officer of B2X. “In the fiscal year 2017/18, we expect revenue growth of more than 20 percent, with an annual turnover of about 140 million euros.”
B2X is currently expanding its business relationships globally with key market players such as Samsung. Furthermore B2X is also evolving its service management beyond smartphones to consumer IoT devices and consumer electronics resulting in huge market potential.
“B2X is an incredibly exciting growth story and we are delighted to be able to support the company as a strategic investor”, commented David Seligman, founder of Seligman Private Equity Select. “Our current financing round will help B2X complete new customers projects more quickly. This will further accelerate sales growth and increase profits.”
Seligman Private Equity Select thus joins the circle of existing B2X investors, which mainly consists of Earlybird Venture Capital, Grazia Equity and the family office of the B2X company founder Karim Barkawi, the Barkawi Group.
B2X is the leading global provider of end-to-end customer care solutions for mobile and IoT devices. Founded in 2007, B2X helps many of the world’s leading mobile and consumer IoT companies deliver a superior after-sales service experience. The company’s unique positioning is based on its global service partner network and its SMARTCARE Technology platform that connects everything to a digitally integrated customer care ecosystem. With more than 1,000 employees and over 500 trusted partners in 140 countries worldwide, B2X is the premier after-sales service provider for manufacturers, insurance providers, carriers and retailers.
About Seligman Private Equity Select
Seligman Private Equity Select manages funds dedicated to the European lower mid-market segment. Its secondary funds provide late-stage expansion capital, as well as liquidity solutions for early investors and management, in fast-growing businesses.