LONDON (Alliance News) - Tracsis PLC on Wednesday said it acquired Compass Informatics Ltd and Compass Informatics UK Ltd for about EUR4 million in cash and shares.
The traffic data provider said it will pay EUR3.2 million in cash, funded out of its existing reserves and will issue 53,204 shares at a price of 587 pence each.
Tracsis shares were trading 0.8% higher on Wednesday midday at 600.00 pence each.
An additional payment of EUR500,000 will be made upon completion to reflect the net current asset position of the business, Tracsis said.
For the year to the end of September 2018, Compass Informatics generated revenue of EUR4.8 million and pretax profit of EUR600,000. The business is debt free, and has a long history of stable organic growth, Tracsis noted.
Compass Informatics is a systems development and data analytics company that specialises in combining geographical information systems, location technologies, data analytics and field computing.
The acquisition of Compass Informatics is the first overseas acquisition made by Tracsis and the company believes the business is highly complementary to the Traffic & Data Services division.
"Coming together with Compass will strengthen the product and service offerings to our client base in the UK and also benefit those existing clients retained by Compass in Ireland," said Tracsis Chief Executive John McArthur.
Tracsis (TRCS)