Cerillion

Cerillion provides essential software to mid-sized telecom operators and digital subscription businesses globally. It is a small but proven challenger operating in the large telecoms software industry. Its profitable Software-as-a-Service (SaaS) model supports recurring revenues and long-term customer relationships.

Despite much larger competitors, Cerillion still wins new customers and contracts, supported by its differentiated set of products. Cerillion targets small to mid-size telecoms companies and does not chase very large providers like BT or T-Mobile.

The company’s business model generates good profit margins and excellent cashflow, while cash in the bank gives strategic options to management. We see scope for further market share gains in a consolidating industry, with AI capabilities strengthening the product offering. Cerillion's expertise and software should make it a beneficiary of AI adoption, rather than a casualty of it.

By improving the efficiency and affordability of telecoms services, the company supports broader access to essential digital infrastructure, underpinning economic participation and social inclusion.

Software companies like Cerillion are relatively benign from an environmental standpoint. Data security and cybersecurity are critical considerations for Cerillion and its customers, given the company’s role in delivering digital solutions to telecoms providers.

Cerillion handles sensitive client information, making it a potential target for cyber threats. It also works in some emerging and developing markets, increasing exposure to bribery and corruption risks and reinforcing the importance of robust compliance, internal controls and third-party due diligence.

Recruiting and retaining skilled professionals is another important consideration. Expertise in this field is in high demand globally, and Cerillion’s ability to deliver high-quality services depends on attracting and developing talent.