In a strategic move to deepen its footprint in the European digital trust and cybersecurity market, eMudhra Limited has announced the acquisition of a 51% controlling stake in Cryptas International GmbH, a Vienna-based provider of encryption and trust services. The acquisition was formalized on June 27, 2025, through eMudhra B.V., a wholly owned subsidiary of eMudhra Limited.
Strategic Expansion into Europe
Cryptas International operates across Austria, Germany, and Sweden through its subsidiaries:
-
PrimeSign GmbH, a Qualified Trust Service Provider (QTSP) in Europe.
-
Cryptas IT Security GmbH, Austria.
-
Cryptas Deutschland GmbH, Germany.
-
Cryptas Nordics AB, Sweden.
In addition, Cryptas holds a 49% stake in European Trust Service GmbH, with the remaining 51% owned by an Austrian government entity. The acquisition provides eMudhra with direct access to the EU market, complementing its existing presence in India, the Middle East, Africa, and the United States.
Consideration and Valuation
An initial cash consideration of €5 million has been paid for the 51% stake. The agreement also includes an earn-out structure based on a 10x EBITDA multiple for FY2026. A put/call option arrangement is in place for the remaining 49% stake, applicable during FY2028–FY2030, at the same valuation multiple.
Strategic Rationale and Synergies
The acquisition delivers multiple strategic advantages:
-
Regulatory Compliance & Market Reach: PrimeSign’s status as a QTSP enables eMudhra to offer legally recognized digital signatures across the EU, expanding service availability in a market governed by eIDAS (Electronic Identification, Authentication and Trust Services) regulations.
-
Enhanced Product Portfolio: Cryptas brings a complementary client-side Certificate Lifecycle Management (CLM) solution, balancing eMudhra’s server-side offerings. The integration enables a full-stack CLM solution.
-
Customer Base Leverage: Cryptas has a well-established client base in banking, government, energy, and enterprise segments, including 55,000 to 60,000 retail users.
-
Cross-Selling Opportunities: eMudhra plans to introduce its own Certificate Authority (CA) and digital trust solutions to Cryptas’ European clients, gradually replacing third-party offerings.
-
Cost Optimization: With 50 employees currently based in Europe, eMudhra aims to shift non-core operations to India to reduce costs and boost profitability.
Financial Outlook
Cryptas currently generates approximately €9.7 million in annual revenue, with €1.8–1.9 million coming from trust services and the remainder from cybersecurity and digital solution offerings. eMudhra projects this figure could grow to €15–20 million over the next four years, depending on market conditions and integration success.
Though currently EBITDA-positive, Cryptas operates with lower margins due to its high-cost base. eMudhra aims to align Cryptas’ profitability with its own target of 20% EBITDA margins over the next two years through product synergies and operational efficiencies.
Competitive Positioning
Cryptas holds a strong competitive edge in Austria and Germany, particularly in client-side PKI-based authentication for large enterprises and public sector entities. It is one of only two QTSPs in the Austrian market and occupies a niche position in the DACH (Germany-Austria-Switzerland) region.