Sinch in a $1.14 billion deal backed by Softbank and Temasek

Sinch, a Stockholm, Sweden-based public company providing global cloud-based communication solutions, announced a capital raise totalling SEK 9.4bn ($1.14 billion).

The money was raised as the company issued 7,232,077 new shares at SEK 1,300 a piece, worth about SEK 9.4 billion. The issue was oversubscribed, backed by a large number of Swedish and international institutional investors, including existing shareholders Softbank (via SB Management) and Singapore-based Temasek.

Sinch, founded as CLX Communications in 2008 by Henrik Sandell, Johan Hedberg, Kjell Arvidsson, Kristian Männik, and Robert Gerstmann, developed a CPaaS (Communications Platform as a Service) for enterprises and mobile operators. The company is profitable and active in more than 40 markets.

Sinch is led by CEO Oscar Werner, listed on NASDAQ Stockholm, a local stock exchange from Sweden and it raised $380 million at the end of 2020.