Odoo's valuation surpasses €7 billion as General Atlantic raises its investment.

      Belgian software company Odoo, which is also classified as a unicorn, has attained a new milestone. Growth investor General Atlantic has increased its ownership in the company by acquiring additional shares from regional investor Wallonie Entreprendre, which has raised Odoo’s valuation to around €7 billion.

      This development does not constitute a typical funding round for new capital; rather, it is a secondary transaction where General Atlantic purchased previously held shares from Wallonie Entreprendre, the investment branch of Belgium’s Walloon region. Following this agreement, Wallonie Entreprendre retains approximately 3% of the company.

      Founded in Belgium in 2002, Odoo has steadily evolved from a small initiative into a worldwide software platform. It provides an integrated suite of business applications utilized by small and medium-sized enterprises for various functions, including finance, sales, human resources, and marketing.

      The software operates on an open-core model, which encourages developers globally to create add-on applications, resulting in a vast ecosystem of nearly 40,000 extensions.

      Currently, Odoo serves over 170,000 paying customers across roughly 180 countries. Its wide international presence and consistent revenue growth were factors that swayed General Atlantic to increase its commitment.

      Since its initial investment in 2023, General Atlantic has aided Odoo in expanding into new markets and refining its commercial strategy.

      This update is particularly significant due to Odoo’s expansion of product offerings, which now feature AI-enhanced functionalities and automation tools, making its suite more appealing to businesses aiming to replace outdated, fragmented systems with a single, cohesive digital platform.

      For the European tech community, this situation underscores a shift in the approach successful software companies take to grow and secure funding. Instead of pursuing quick exits or IPOs, some founders are opting for secondary share transactions to allow early investors to realize gains while maintaining strategic control.

      This strategy may facilitate companies in remaining private for a longer duration and concentrating on value creation over time.

      While I am unsure about the specifics in Belgium or what their breakfast routines entail, the country has quietly evolved into a hub where software enterprises can achieve international growth. Odoo stands out as one of its notable success stories, demonstrating that a strong product focus, community-driven development, and a global reach can attract substantial support from significant growth investors.