According to TechCrunch, Paris-based CRM company Brevo has raised a massive €500 million (about $583 million) in equity funding, pushing it into unicorn status with a valuation over $1 billion. The company, formerly known as Sendinblue, now boasts over 600,000 customers including names like Carrefour and eBay, and it hit over €200 million in annual recurring revenue ahead of its 2025 target. CEO Armand Thiberge revealed the U.S. currently makes up just 15% of revenue, a figure he wants to grow to 50%, and the company plans to spend over €100 million of this new funding on that American expansion. The round was led by new investors General Atlantic and Oakley Capital, each taking a 25% stake, while management and employees retain the largest share at 26%. Brevo also plans to invest €50 million in AI over five years and will use acquisitions as a key growth lever, aiming for €1 billion in revenue by 2030.
The David vs. Goliath Playbook
Here’s the thing: competing with Salesforce, a company targeting over $41 billion in revenue, isn’t just ambitious. It’s borderline insane. But Brevo’s strategy isn’t to go head-to-head for the same massive enterprise deals. Their playbook seems to be attacking the mid-market and small business segments that the giants often overserve or ignore. They started as an email marketing tool, basically a Mailchimp competitor, and have been bolting on CRM, marketing automation, and a ton of communication channels (SMS, WhatsApp, chat) ever since. It’s a classic land-and-expand model, but at a much larger scale. And their goal to make the product both “the most complete and the easiest to use” highlights the inherent tension in that strategy. Can you really build one platform that delights a solo entrepreneur and also satisfies the needs of a team at H&M? Thiberge admits it’s not easy, but so far, their growth suggests they’re threading the needle.
Why The Cap Table Matters
The funding details are actually more interesting than the big number. Rumors swirled that this was an outright acquisition, but it’s a straight equity round that keeps Brevo independent. Management and employees still hold the largest single block. That’s huge for morale and control. But look who the new money is: General Atlantic and Oakley Capital. These are massive, global growth equity firms with deep experience scaling companies internationally, especially in the U.S. This isn’t just cash; it’s a signal. They’re not betting on a “European champion” that plays the sovereignty card. They’re betting on a global product that can win on its own merits. The cap table literally mirrors the stated ambition to build a “global European CRM leader.” It’s a deliberate move to look and act like a stateside contender, not a regional alternative.
The AI and Acquisition Engine
So, what’s the €500 million actually for? Three things: America, AI, and acquisitions. The over €100 million U.S. push is the headline, but the €50 million AI pledge and the aggressive M&A strategy are the engines. They’ve already done 11 acquisitions, like picking up WonderPush and Octolis, to add features and enter new markets. And they expect 45% of that 2030 revenue target to come from buying stuff. That’s a breathtakingly inorganic growth plan. It means we should expect a shopping spree for smaller CRM, marketing automation, and data tools, especially in North America. The AI investment is table stakes now, but for a company serving small businesses, the key will be making it stupidly simple and affordable. That’s where they could actually outmaneuver the giants, who often bundle AI into expensive enterprise tiers.
A New Kind of European Competitor
This whole story feels like a shift. For years, European tech success stories often either got acquired by U.S. giants or remained dominant in their home region. Brevo is explicitly rejecting that path. They’re keeping control, taking global institutional money, and planting a flag in San Francisco’s backyard. The bet is that the mid-market, globally, is underserved. HubSpot owns a big piece of that mindshare, but there’s room for another player, especially one that comes from the email marketing side where so many small businesses start. Is the market big enough for another giant? Maybe not. But with this war chest, Brevo isn’t trying to be a niche player. They’re trying to build a third pillar in the CRM space. It’s a hell of a long shot, but for the first time in a while, it looks like a European software company is building the financial and strategic foundation to actually try.
