Thryv Holdings Acquires Keap® to Enhance Small Business Software Solutions and Marketing Automation

Thryv Holdings Expands Small Business Solutions with Strategic Acquisition

At its recent Analyst Day event, Thryv Holdings, Inc. emphasizes its commitment to enhancing its small business software platform through strategic initiatives, particularly the acquisition of Infusion Software, Inc., known as Keap®. This acquisition positions Thryv to significantly boost its marketing automation capabilities, allowing the company to provide more comprehensive marketing and sales solutions. Chairman and CEO Joe Walsh notes that this move not only supports Thryv's current client base of over 100,000 small businesses but also strengthens its global partner channel, which is crucial for delivering value in a competitive marketplace.

Thryv's roadmap includes ambitious goals, with the company aiming to transition to a majority SaaS (Software as a Service) revenue model by 2025. Walsh outlines that by 2026, SaaS EBITDA is projected to represent the majority of the firm's consolidated EBITDA. This strategic pivot towards SaaS aligns with broader industry trends as small businesses increasingly seek integrated solutions that streamline operations and enhance customer engagement. With expected revenue growth in the coming years, Thryv is well-positioned to capitalize on the growing demand for digital transformation among small and medium-sized businesses (SMBs).

In addition to its acquisition strategy, Thryv announces the introduction of two new operational centers designed to empower its small business clients. The Thryv Reporting Center™ will provide essential performance metrics to facilitate quick decision-making, while the Thryv Workforce Center™, set to launch in late 2025, aims to simplify employee management and payroll processes. As part of its long-term strategy, Thryv plans to phase out marketing services by 2028, extend its print directory cycle, and migrate digital clients to SaaS subscriptions. The firm projects strong financial performance, anticipating organic SaaS revenue growth of 18%-20% for 2025 and a robust unlevered free cash flow of $250-$300 million from its print business between 2025 and 2030.

Thryv's strategic initiatives underscore its focus on innovation and client support in the small business sector. By bolstering its service offerings and enhancing operational efficiencies, the company aims to solidify its position as a leader in providing comprehensive solutions tailored to the needs of SMBs. The integration of Keap® into Thryv's offerings represents a significant step forward in this endeavor, promising to deliver enhanced value to both existing and potential clients.