Softline group subsidiary Lorge Consulting has acquired 100% of financial software implementation firm Application Technology Solutions (ATS) in a R14.5 million transaction, entrenching Lorge's position as the leading implementor of ACCPAC and related financial software solutions in Southern Africa.
"Softline has established itself over the past few years as a leading international developer and provider of mission-critical financial software applications to the midrange market," says group financial director Steven Cohen.
"The acquisition provides the group with further penetration into the corporate midrange accounting software market, complementing the group's current position as the largest accounting software vendor in Africa".
The combination of Lorge Consulting and ATS, provides the Softline group with a stronger base of implementation skills and clearly establishes Lorge Consulting as the leading ACCPAC implementation firm by a considerable margin.
The purchase will be settled through a combination of cash and shares, is subject to profit warranties and the fulfilment of certain conditions.
"The acquisition of ATS provides a number of direct benefits to Lorge," says Cohen. "Among them are the expansion of Lorge's base of skills and resources, ATS's penetration into new geographical areas in southern Africa and the addition of ATS's proprietary technology to Lorge's existing software range, providing a sophisticated work flow application".
ATS adds an extensive base of high profile, blue chip clients to Lorge's existing client base. As a combined entity, the company has more than 600 corporate clients and experience in the implementation of over 1000 complex financial systems, including the installation of the largest ACCPAC site in Africa with more than 400 concurrent users located in 77 sites.
In addition ATS has successfully concluded a number of large contracts with government agencies over the past few years, establishing a strong position within this market.
Tertius Zitzke, managing director of ATS comments "a number of natural synergies exist due to ATS and Lorge's similar culture, methodology and approach to providing structured implementations. Importantly we share a common vision with Lorge Consulting to become a global provider of services to the midrange accounting software market, expanding outside of the southern African market".
"The combination of forces under Lorge Consulting will provide the company with increased depth in our base of skills and expertise, from which to export our successful implementation methodology into international markets".
Lorge Consulting is currently assessing numerous opportunities in the Australasian market in line with this strategy.
Lorge's R&D and implementation skills have set international standards, with numerous local and international awards confirming its position as the leading ACCPAC consulting firm in the world today.
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