Headquarter: UK

Investment Date: 2021

Exit Date: 2023

Business overview

Reward Gateway is a leading HR Technology and Employee Engagement company that helps clients to connect, recognize, and support their people.

It offers a leading SaaS employee engagement platform that centralizes employee reward and recognition, discounts, communications, surveys, wellbeing, and flexible benefits.

Reward Gateway helps clients to create positive cultural change in order to increase employee engagement and drive business results through a tailored platform that brings together employee reward and recognition, discounts, communications, surveys, wellbeing, and flexible benefits in one unified hub. Their experienced Client Success Team partners with clients to create fully branded solutions aligned to an organization's employee engagement goals, and to reflect their unique mission, culture, and employer brand to drive the highest levels of platform usage.

More than 4,000 of the world’s leading companies have partnered with Reward Gateway to connect, recognize, and support their best people.

+4.000 customers globally

+8m active employees

State-of-the art SaaS platform with full suite of engagement tools

Deal description

Castik Funds partnered with Abry Partners and management to support the next growth phase of Reward Gateway. In parallel, both Funds jointly acquired a majority stake in Xexec, in partnership with its founders. Headquartered in London, UK, Xexec is an employee engagement provider that offers a wide range of employee discounts and reward & recognition solutions through its scalable cloud-based platform, complemented by an in-house tickets and travel concierge.

After <2 years with significant revenue and EBITDA growth, Castik and Abry Partners have sold the company to Edenred in 2023.

  • Revenue growth: +76%
  • EBITDA growth: +102%
  • Number of acquisitions: 3
Value Creation

Reward Gateway doubled in size through a combination of organic and M&A growth

  • Organic growth: Increase in organic growth due to targeting the Mid-cap and SMB segments, which are markets with attractive white space. Organic US expansion via ramp-up of the sales team and optimizing the go-to-market strategy
  • M&A: Further consolidation of the UK employee benefits market through the acquisition of Xexec and US expansion through the acquisitions of Movespring and Fond