The IPOs of iZettle and Readly – Maria Hedengren (IPO Stories, Ep. 22)

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Disclaimer: this discussion is not financial advice, nor an investment recommendation, nor a solicitation to buy or sell any financial instruments, or an offer for financial services or any other transaction. The information contained in the recording have no contractual value and are destined for an informational purpose only. Amundsen Investment Management and the participants on this podcast may have holdings in the companies being discussed. 

 [0:06] Per Einar Ellefsen: Not all IPO processes end up with an IPO. Today, we’ll talk with Maria Hedengren, who was CFO of iZettle, a Swedish payments company, at the time of its planned IPO in 2018. The process ended with PayPal acquiring the company the day before the publication of the prospectus—at double the planned IPO price. 

Maria has been through two IPO processes: first as CFO of iZettle in 2018, and later as CEO of Readly in 2020. Before iZettle, she served as CFO of NetEnt, a listed company, for five years. She is now the founder of Oxygen First, an independent advisor to startups and scaleups, a Venture Partner at VC firm Eight Roads, and a board member for several companies. 

With Maria, we discuss her experience running the IPO processes of iZettle and Readly, and the lessons from those experiences—particularly how management should take ownership of the process leading up to the IPO. 

Maria, thank you very much for joining us today. Can you start by introducing yourself? 

[1:58] Maria Hedengren: Thank you for having me. I’m looking forward to this. I live in Stockholm, I’m Swedish, and this has been my base for many years. I’ve worked in finance for about 25 years—mainly in tech and IT. My career has always involved growing or transforming companies, often moving traditional analog businesses into the digital world and expanding internationally. 

For many years, I was CFO of iZettle, which we’ll discuss today—when we were supposed to IPO but ended up selling to PayPal. Later, I became CEO of Readly, which I did take public. 

For the past few years, I’ve been a “pluralist”—dividing my time between board positions at several companies and working as a Venture Partner at Eight Roads Ventures in London. I also make startup investments and support entrepreneurs. I have two teenage children—and a dog! 

[3:35] Per Einar Ellefsen: Excellent. The Stockholm tech scene has been strong throughout your career—across payments, Spotify, and other areas. 

[3:50] Maria Hedengren: Yes, definitely. 

[3:51] Per Einar Ellefsen: Let’s talk about iZettle. You were CFO during a unique IPO experience in 2018—an IPO that was fully prepared and well-received but ended in a strategic sale within weeks. 

[4:06] Maria Hedengren: Yes, it was the IPO of the year! Even though Sweden is a small market, it drew global attention. We met around 300 investors across the U.S. and Europe. It was a very sought-after transaction—until it wasn’t. 

[4:41] Per Einar Ellefsen: Let’s step back—what’s the story behind iZettle’s founding and growth? 

[4:46] Maria Hedengren: Like many great startups, it was born out of frustration. The founders—Jacob de Geer and Magnus Nilsson—realized how hard and expensive it was for small entrepreneurs to accept card payments. Sweden and Scandinavia were already nearly cashless, but small businesses still couldn’t easily take cards. 

Jacob tried to help his wife, who needed to accept payments a few times a year. It made no sense to buy a large terminal, so he and Magnus decided to build a simple mobile solution. That’s how iZettle was born. 

[6:09] Per Einar Ellefsen: So the disruption was around cost and onboarding? 

[6:15] Maria Hedengren: Exactly. iZettle let you accept card payments via your phone and a small card reader. Later we developed sleek, portable terminals—much smaller and cheaper than traditional ones. The whole experience was designed to be modern, mobile, and beautiful. It truly empowered sole traders and small businesses. 

[7:32] Per Einar Ellefsen: So iZettle rode the iPhone revolution, leveraging mobile to simplify payments. At the time of the planned IPO, how global was the company? 

[7:50] Maria Hedengren: We were in about 10–12 markets, mostly across Europe, plus Mexico and Brazil. 

[8:00] Per Einar Ellefsen: You joined in late 2016. Was an IPO already the plan then? 

[8:15] Maria Hedengren: Yes, absolutely. It was an explicit strategy—one of my main objectives when joining. 

[8:26] Per Einar Ellefsen: How long did preparation take? 

[8:30] Maria Hedengren: About 18 months, from my first day to May 2018, when we were literally days away from listing. 

[8:54] Per Einar Ellefsen: What kind of preparation was needed to make iZettle IPO-ready? 

[9:08] Maria Hedengren: iZettle was well-managed, but few companies are truly IPO-ready. We had to overhaul everything—from the board composition (adding independent members, audit committees) to internal controls and IT governance. Even things like code check-in routines had to be formalized. 

We trained staff on insider regulations and built reporting systems from scratch—all while maintaining agility and culture. That balance was key. 

[10:33] Per Einar Ellefsen: What were your first concrete steps? 

[10:40] Maria Hedengren: The board was first. We replaced observer seats with formal independents, as required for IPOs. We also began a pre-IPO fundraising round to bring in institutional investors like Swedbank Robur and AMF—both for credibility and working capital. 

[11:33] Per Einar Ellefsen: So that round happened about a year before the IPO? 

[11:39] Maria Hedengren: Yes. 

[11:47] Per Einar Ellefsen: What was the purpose—capital or de-risking? 

[11:47] Maria Hedengren: Both. It gave us credibility and ensured liquidity during the preparation period. 

[12:07] Per Einar Ellefsen: How important is it to have a CFO with listed-company experience before an IPO? 

[12:14] Maria Hedengren: It’s extremely important. I’d been CFO of NetEnt, which gave me the reflexes and discipline needed—especially around processes, internal controls, investor communication, and compliance. It’s hard to learn all that while going public for the first time. 

[13:47] Per Einar Ellefsen: How did you decide it was time to go for it in 2018? 

[13:47] Maria Hedengren: Timing was based on market sentiment, comparable IPOs, and seasonality. You want to hit the window before summer and when investors are most active. 

[14:25] Per Einar Ellefsen: You chose to list in Stockholm—was that debated? 

[14:43] Maria Hedengren: We considered London and the U.S., but we had no U.S. customers and would’ve been a small player there. Stockholm was our natural home market—strong exchange, investor familiarity, and good liquidity. 

[16:00] Per Einar Ellefsen: Did local analysts understand payments businesses well? 

[16:00] Maria Hedengren: Not at first. Swedish analysts were great on tech but less familiar with global payments. We had to educate them—explain metrics, comparables, and global peers like Adyen and Square. 

[16:37] Per Einar Ellefsen: When did PayPal enter the picture? 

[16:45] Maria Hedengren: They’d known iZettle for years, but formal talks began right after our ITF (Intention to Float) announcement. That’s when potential acquirers come forward—because once a company lists, acquisition becomes much harder. 

[17:42] Per Einar Ellefsen: So you suddenly had a dual-track process—IPO and M&A in parallel? 

[17:52] Maria Hedengren: Exactly. We had six banks and four law firms, doing both an IPO and a U.S. 144A offering, so complexity was high. Luckily, we could split the leadership: Jacob and I focused on the IPO roadshow while the other team handled PayPal discussions. 

[18:43] Per Einar Ellefsen: How did PayPal’s due diligence differ from the IPO process? 

[18:57] Maria Hedengren: It was compressed and intense. But because we’d just completed an IPO readiness audit, they trusted our governance. Their focus was on IT security and tech robustness. Picture 20 Americans in a conference room doing due diligence over a few days—it was that fast. 

[20:00] Per Einar Ellefsen: What tipped the decision toward PayPal? 

[20:29] Maria Hedengren: The obvious factor was valuation—double the IPO price—but also strategic fit. There was almost no product overlap, strong cultural alignment, and clear cross-selling opportunities. It was truly a win-win. 

[21:30] Per Einar Ellefsen: Then you joined Readly in 2019. Were you brought in to lead another IPO? 

[21:49] Maria Hedengren: It was one of the likely exit routes. Our largest investor, Zouk Capital, had been in for seven years and wanted an exit. So yes, my IPO experience was a factor, but I was hired as CEO, not just IPO lead. 

[22:44] Per Einar Ellefsen: What did you do differently at Readly? 

[22:50] Maria Hedengren: We were more proactive and assertive with advisors. It was a smaller IPO—two banks instead of six—but we owned the process more. 

[23:23] Per Einar Ellefsen: How did you select the banks? 

[23:35] Maria Hedengren: Based on coverage, analyst expertise, and team fit. For iZettle, we had Carnegie and J.P. Morgan. For Readly, it was ABG Sundal Collier as global coordinator and Handelsbanken as joint bookrunner. 

[25:09] Per Einar Ellefsen: What aspects of the IPO did you insist on controlling? 

[25:09] Maria Hedengren: Mainly disclosure and reporting. Banks often want maximum transparency, but companies must think long-term—avoid publishing segment data that can hurt competitive positioning. You also have to challenge banks on book allocation and roadshow planning instead of blindly agreeing. 

[27:13] Maria Hedengren: There’s so much at stake that first-timers tend to say “yes” too easily. You need to know when you can say “no”—and still succeed. 

[27:40] Per Einar Ellefsen: Absolutely. Management must take ownership, because after listing, the advisors disappear. 

[27:50] Maria Hedengren: Exactly. Banks, lawyers, and auditors are excellent, but their incentives aren’t always aligned with the issuer’s. Their job is to minimize their own risk and maximize fees. Once the IPO is done, they move on. The company has to live with the structure, controls, and disclosure choices for years. 

[28:48] Per Einar Ellefsen: Roadshows are key, too—meeting broad sets of investors, even those who might not buy immediately. 

[29:08] Per Einar Ellefsen: As someone who’s been both CFO and CEO during IPOs, how do those roles differ? 

[29:19] Maria Hedengren: The CFO’s workload is massive—they’re the spider in the web, managing auditors, lawyers, banks, and internal readiness. But they also travel on the roadshow and speak to investors. 

The CEO, meanwhile, is more externally facing—media, keynotes, storytelling. I had a great CFO at Readly, so it was a smoother process the second time. 

[30:49] Per Einar Ellefsen: What advice would you give future IPO leaders? 

[30:59] Maria Hedengren: Don’t underestimate the workload. Bring in extra help early, especially for the CFO. Keep operations running smoothly—you can’t neglect day-to-day performance while preparing for IPO. 

[32:07] Per Einar Ellefsen: So the company must run independently of the CEO during that period. 

[32:12] Maria Hedengren: Exactly. Founders especially must learn to delegate—teach teams to make decisions without them. You need a deliberate strategy to empower others. 

[33:24] Per Einar Ellefsen: You’ve mentioned the importance of a strong board. What matters most when choosing independent directors? 

[33:36] Maria Hedengren: It’s about complementarity. You want a mix—finance expertise from VCs, but also deep commercial or technical experience. Boards now need to understand cybersecurity, AI, and sustainability. And don’t forget: you need someone capable to chair the audit committee—ideally with listed-company experience. 

[34:56] Per Einar Ellefsen: You said every IPO has a defining moment. What were yours for iZettle and Readly? 

[35:09] Maria Hedengren: For iZettle, it was the night we signed with PayPal. I was at home, told to rest in case we had to go public the next morning. I couldn’t sleep—I followed by text and email. The news leaked before signing, and by midnight we finally did. I had my suit pressed for the bell-ringing that never happened. 

For Readly, it was tougher. Just three days before listing, two Swedish publishing partners—Adlibris and Bonnier—terminated contracts, 90 minutes apart. I remember opening the second email in disbelief. We spent the weekend calling cornerstone investors and explaining the situation calmly. Despite the headlines, the IPO was 11x oversubscribed, and we went ahead. 

[39:28] Per Einar Ellefsen: Incredible stories. Thank you, Maria, for sharing your insights. 

[39:51] Per Einar Ellefsen: Thank you for listening to IPO Stories. In future episodes, we’ll host CEOs, CFOs, advisors, and other participants in the IPO process to learn from their experiences—like from Maria today. 

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