Sovos, a tax compliance software provider based in Boston, said Wednesday it plans to acquire Digital Planet, an Istanbul, Turkey-based developer of cloud-based invoicing, receipts, delivery notes and ledger technology.
The deal marks Sovos’s eighth acquisition this year. After acquiring another Turkish company, Foriba, in 2019, Sovos set up a European center of excellence in Istanbul. Since then, the company’s local teams have developed solutions for continuous transaction control mandates in Greece, India and Saudi Arabia.
With its latest acquisition of Digital Planet, Sovos intends to expand its Istanbul-based product development center to support its channel partners and customers in Turkey and across Europe. Financial terms of the deal were not disclosed.
“Our plans to acquire Digital Planet follow several recent acquisitions in Europe and the Americas designed to scale our solutions for customers of all sizes, because the digital transformation of tax and economies affects businesses of all sizes,” said Sovos CEO Andy Hovancik in a statement. “We set out to solve for these complex global challenges, and our acquisition strategy reflects the seriousness of our commitment to do just that.”
Digital Planet primarily sells its products to banks, telecommunications and insurance companies, which use its technology to provide telephone bills, bank receipts, credit card statements, insurance policies and other personalized documents.
“The acquisition of Digital Planet will strengthen our partner channel and significantly increase our customer base of enterprises and SMBs,” said Steve Sprague, general manager of global value-added tax at Sovos, in a statement. “As our second acquisition in Turkey, Digital Planet reinforces the Sovos commitment to the local and regional market, as we grow our software development organization in Istanbul.”
Sovos is owned by Hg, a London-based private equity firm that focuses on software and service businesses, and TA Associates. EY was a financial advisor to Sovos, and Akol provided legal counsel, while Ozbek Legal provided legal counsel to Digital Planet.
