Sovos Acquires Petapilot, Strengthening Global SAF-T Capabilities

Sovos expands public sector e-accounting functionality in Europe and beyond

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BOSTON – July 7, 2021 – Global tax software provider Sovos today announced it has acquired Portugal-based company Petapilot, which delivers e-accounting solutions to tax authorities and businesses. Together with existing Sovos capabilities, the acquisition creates a SAF-T compliance solution for customers operating in Portugal, while adding extended digital accounting capabilities to meet current and upcoming mandates around the world. A pioneer in their market, Petapilot bring to Sovos technology and talent that will help customers meet the demands of the digital transformation of tax and public procurement, all with a single provider.


A SAF-T Solution for Accelerating Adoption of e-Audits

The acquisition of Petapilot enables Sovos to significantly extend the capabilities of its new Advanced Periodic Reporting cloud platform, enhancing support for global Standard Audit File for Tax (SAF-T) requirements, which the Organisation for Economic Co-Operation and Development (OECD) designed to give tax administrations frequent, digital visibility into business accounting systems. However, no two countries have adopted the exact OECD SAF-T specification, which means e-accounting requirements vary substantially across borders. Adding to the challenge, IT and tax teams must aggregate this data – invoice records, inventory movements, human resources, fixed assets and more – from disparate systems and be ready at any time to deliver complete, consistent, structured data files to governments.

“There is renewed interest in the SAF-T standard globally as a companion to continuous transaction controls (CTCs),” said Steve Sprague, general manager, global value-added tax, Sovos. “As tax administrations from Portugal to Poland, Romania to Angola accelerate e-audit efforts, Sovos is uniquely positioned to deliver comprehensive and intelligent compliance for SAF-T and other e-accounting requirements.”

"Valter Pinho, Sovos general manager, SAF-T and former Petapilot CEO, said, “Petapilot has built deep expertise in SAF-T compliance since 2008, when we developed technology for the tax authority in Portugal, the first country to adopt and use the SAF-T standard. As we integrate Petapilot products into Sovos Advanced Periodic Reporting, Sovos will add value via tax and data intelligence that mimics government controls. It’s a powerful combination that will help thousands of companies analyze and fulfil their obligations.


Local Operations and a Complete Offering for Portugal’s SAF-T & e-Invoicing Mandates”

John Gledhill, vice president of corporate development for Sovos, said, “With the Petapilot acquisition, Sovos strengthens its offerings in the growing market for SAF-T compliance and establishes operations in Portugal. With expert teams now in more than 13 countries, Sovos is building a global presence that prioritizes the local and regional compliance needs of our customers.”

The terms of the deal were not disclosed. Sovos is owned by Hg, the London-based specialist private equity investor focused on software and service businesses, and TA Associates. EY served as financial advisor to Sovos, and Burness Paull LLP and Gómez-Acebo & Pombo provided legal counsel. ECIJA provided legal counsel to Petapilot.


About Sovos

Sovos was built to solve the complexities of the digital transformation of tax, with complete, connected offerings for tax determination, continuous transaction controls, tax reporting and more. Sovos customers include half the Fortune 500, as well as businesses of every size operating in more than 70 countries. The company’s SaaS products and proprietary Sovos S1 Platform integrate with a wide variety of business applications and government compliance processes. Sovos has employees throughout the Americas and Europe, and is owned by Hg and TA Associates. For more information visit www.sovos.com and follow us on LinkedIn and Twitter.


About Petapilot

Petapilot’s core product, col.bi SAF-T, provides customers a scalable integrated data analytics tool for digital audit and tax compliance in a cloud or on-premise offering. The solution analyzes all of a company’s transactions contained in SAF-T files prior to the submission to the tax authority. The product is sold to both tax authorities and corporate customers. Petapilot’s solutions are helping the tax authorities of Portugal, Hungary, Lithuania, Ukraine, Equatorial Guinea and Cape Verde. Petapilot’s founding team have been working closely with the Portuguese Tax Authority to support the introduction of its SAF-T mandate in 2008, and Petapilot’s col.bi solution has underpinned the Portuguese Tax Authority’s SAF-T data processing and analysis since 2014.