Bad years for the software industry make it difficult to « sir » to grow by buying others

The Sirma Group Technology Company expects to start trading on the largest stock exchange in Europe – the one in Frankfurt at the beginning of the next year. This will be done through the Euro Brdge segment, which has been offering the Bulgarian Stock Exchange (BSE) for about a year.

The goal is for the time being to become recognizable in the heart of Europe, and then the management does not rule out to make a primary public offering in Frankfurt to raise capital. In the meantime, the company seeks to double its revenue over the next 2-3 years. Currently, its software solutions are available in 150 countries.

This is the second company – after Shell Group, which will use the new BSE segment.

« We do not expect the miracles and the price of our shares to rise immediately, » said Executive Director Tsvetan Alexiev. According to him, the positioning of Sirma Group Holding on the German stock market will lead to an increase in the market valuation and liquidity of the shares, will facilitate access to global financial markets and increase the confidence in the company, which in turn will help to make easier transactions. In addition, it notes that unlike the Bulgarian stock market, where with not too large amounts he can « do what he wants with prices », in Frankfurt this is not possible. A double -linger consultant is « Expat Capital ».

The goal is to reach the company’s revenue to reach EUR 100 million as much as they are in BGN currently for 2024. In the meantime, the company is engaged in the acquisition of others in Europe, with the aim of growing the business. Companies with 100 to 300 employees are subject to interest, with revenues of EUR 5 to 20 million and operating in strategic segments, but the process does not go quickly and smoothly. The reason is that often those who would sell are not profitable. This is the result of many software businesses in 2023 and 2024, unlike the strong two years earlier. However, a small and a medium -sized Romanian company was acquired last year. An unsuccessful attempt to acquire due to poor financial results was in Danish company.

Sirma Group itself reports BGN 1.114 million. Net profit for the past financial year and the average price of its shares traded in BSE, BGN 0.95, which is 23%. On Friday, when the market is closed, the price rises to BGN 1.20 than it leaves when it is awarded on the stock exchange in 2015.

The company’s main business is related to technological services and solutions, with the company included 10 subsidiaries that develop business in various sectors – hotel, healthcare, Fintech, cloud services and more. Last October, the company decided to consolidate its companies under one hat.

In Europe, with Euro

Germany is also the market where the company is developing, along with other German -speaking – Austria and Switzerland. The main clients of the projects there are financial and public institutions, including the European Central Bank. However, because of the crisis in Germany, it is currently difficult to conclude contracts, it is much slower, Alexiev commented. « It is much more difficult to exclude contracts, much slower, more difficult to make investment decisions. A house of German companies have closed the shutters, » he adds.

According to him, the basis of these difficulties is the presence of war in Europe. It expects the situation to relax soon because it thinks that this is usually the crises when they all get tired of being in crisis.

For the Bulgarian economy, however, it considers it super important to accept the euro. « Although some nonsense has been started lately, this is super important and super good for me for the Bulgarian economy. Yes, maybe a short -term inflation will have a short problem. Although everyone says we have consumed this effect in advance, which may be so, » Alexiev commented. In turn, he pointed out that at the moment when he went to the signing of a contract with a foreign counterparty, it is begun to explain that there is a currency board in Bulgaria, that the lion is tied to the euro, etc.