(‘Idox’ or the ‘Group’ or the ‘Company’)
Idox acquires exeGesIS, a GIS software business
ldox plc (AIM: IDOX), a leading supplier of specialist information management software and solutions to the public and asset-intensive sectors, is pleased to announce the acquisition of exeGesIS Spatial Data Management Ltd (“exeGesIS”), a UK based geospatial information services (GIS) technology business.
- Further enhances Idox’s GIS capabilities following the recent purchase of thinkWhere
- Initial cash consideration is £5.35m
- Strong margins and recurring revenues
- Immediately earnings enhancing
The initial cash consideration for the acquisition is £5.35m, with up to £1.65m of additional cash consideration deferred for 12 months, contingent on the retention of existing recurring revenues. The consideration will be funded from Idox’s existing financial resources.
Based in Brecon, Wales, exeGesIS provides both public and private sectors software which helps collect information and manage assets of ecological, environmental and historical importance. The company works with private organisations, local authorities and other public sector bodies who manage public rights-of-way, archaeological sites, historic assets, conservation areas and nature reserves. This customer base is complementary to Idox’s and brings a number of new clients into the Group.
Employing 35 people, exeGesIS is highly regarded within the geo spatial sector, providing a range of GIS focused software solutions. Director Crispin Flower will join Idox in a new role leading the GIS function with the remaining management team exiting the business following an integration plan planned to span a six-month period.
Strengthening Idox’s presence in an attractive new sector
Idox views the GIS sector as an attractive, high growth adjacency and has placed an increased focus on its GIS capabilities recently, notably with the purchase of thinkWhere in August 2021. The acquisition of exeGesIS will considerably improve Idox’s product offering, specifically within the land and property sector. The established mapping technologies and knowledge within exeGesIS will enable Idox to provide much needed data and services that allow for location visualisation which is an emerging requirement across a number of land and property industries.
This acquisition provides Idox with the opportunity to enhance our GIS offerings, notably to help build on the management and recording of data on emissions and land usage. This enhanced GIS offering is crucial, especially as environmental issues remain high on the global agenda.
The acquisition is expected to be immediately earnings enhancing and the Board believes there is scope to deliver attractive profit growth over the medium term through a range of commercial synergies.
David Meaden, CEO of Idox commented:
“As Idox continues to build on its GIS, mapping and data capabilities, the acquisition of exeGesIS is an exciting move and allows us to offer greater expertise, products and services to our customers. The addition of the exeGesIS products to our current offering will provide customers and users the opportunity to benefit from a single supplier relationship and extended capabilities.”
“The integration of this business, coupled with the recent acquisition of thinkWhere, will place Idox in a strong position to capitalise on the growth of the UK’s location data market. This transaction will provide further support to the exeGesIS business and products so that it can continue to grow both domestically and internationally.”
For the year ended 30 April 2020, exeGesIS reported revenues of £2.8m and PBT of £0.8m. Gross assets at 30 April 2020 were £2.3m. exeGesIS is majority owned and controlled, directly and indirectly via connected persons, by two directors James Perrins and Anthony Pettitt, and one employee Paul Mills.
This announcement contains inside information for the purposes of Article 7 of EU Regulation 596/2014. Upon the publication of this announcement, this inside information is now considered to be in the public domain.
The person responsible for making this notification is Ruth Paterson, Company Secretary.
Idox plc +44 (0) 870 333 7101
Chris Stone, Non-Executive Chairman
David Meaden, Chief Executive
Rob Grubb, Chief Financial Officer
Peel Hunt LLP (NOMAD and Broker) +44 (0) 20 7418 8900
MHP Communications + 44 (0) 203 128 8100
About Idox plc
For more information see www.idoxplc.com @Idoxgroup