Thu, 10 Feb 2022 | BUSINESS SALE
Compliance software firm Ideagen has continued its acquisition drive with the takeover of email management services company MailManager, its first major deal of the year. The acquisition is potentially worth up to £29.2 million, representing approximately a 5.7x multiple of MailManager’s annualised recurring revenue of around £5.1 million.
The acquisition will involve a £26.4 million up-front cash consideration along with a £2.8 million deferred conditional earnout. The deal will be funded using Ideagen’s existing resources and is the first takeover the company has completed since its £103.5 million equity fundraise in December. Proceeds from this fundraise will be uses to finance its acquisition pipeline and future growth.
MailManager has a broad range of clients, with a particularly strong presence in the architecture, engineering and construction markets, which Ideagen sees as offering cross-sell potential. MailManager’s software can be integrated into existing IT infrastructures and helps clients to manage emails, with the aim of improving efficiency, collaboration and compliance.
Ideagen forecasts that the company will benefit from the operational leverage the group provides, enabling it to achieve EBITDA margins in line with wider group margins inside the first full financial year post-deal. Ideagen says it will integrate the business into its Collaboration division.
Ideagen CEO Ben Dorks said that MailManager “has a resilient business model, a quality customer base, a strong team and outstanding technology.”
He added: “MailManager joins our growing suite of leading collaboration software, enhances our ARR base and has a strong presence in key end markets where we expect to be able to drive group-wide growth.”
“Our mission is to help customers effectively navigate highly regulated environments through great software and we look forward to making further complementary acquisitions from our pipeline in due course.”
Find businesses for sale here.
If you are looking for an exit, We can help!
An outsourced employment law and HR specialist offering a comprehensive range of services for clients throughout the UK.
LEASEHOLD
A specialist consultancy providing project controls/planning, design management and workflow optimisation support for clients across the UK, the USA and the EU. The company’s comprehensive service offering helps clients plan, manage and control th...
LEASEHOLD
The company specialises in the authoring and compilation of record and handover documentation for buildings, which it delivers via its own in-house developed web-based software platform, electronically, and high-quality hard copy. Priding itself o...
LEASEHOLD
27
|
Jan
|
Administrators to sell assets as office furniture maker collapses | ADMINISTRATION
Bluespot Furniture, a West Yorkshire-based furniture manufac...
26
|
Jan
|
UK M&A down 16 per cent in 2022, but sentiment remains optimistic | BUSINESS NEWS
New analysis from PwC has revealed that UK M&A activity decl...
26
|
Jan
|
Private equity-backed law firm targeting further M&A in 2023 | BUSINESS NEWS
Stowe Family Law, a Leeds-headquartered specialist family la...
Sign up to receive our acquisition alert emails to get your FREE guide
20
|
Jul
|
Ideagen continues acquisition drive with double takeover | BUSINESS SALE
Compliance software solutions firm Ideagen has continued its...
14
|
May
|
Ideagen receives up to £100m in funding to continue acquisition drive | BUSINESS NEWS
Listed software firm Ideagen, which has completed 21 UK and ...
28
|
Sep
|
Software company acquired by Ideagen | BUSINESS SALE
Morgan Kai Group Limited, a software company headquartered i...
Business Sale Report is your complete solution to finding great acquisition opportunities.
Join today to receive:
All this and much more, including the latest M&A news and exclusive resources