8th Oct 2013 09:35
LONDON (Alliance News) - Sanderson Group PLC Tuesday said it had bought cloud-based retail software company One iota Ltd for a maximum of GBP5.43 million, and will pay some of the price by raising GBP3.5 million through a share issue.
The software and IT services company that specialises in retail and manufacturing, said it will pay an initial GBP2.38 million in cash for One iota, whose customers include Littlewoods, SuperDry and Very.co.uk., and GBP750,000 in shares. A deferred consideration of GBP300,000 will be paid unconditionally in six equal instalments of GBP50,000 over three years from completion of the takeover, and a further conditional deferred consideration of up to GBP2 million will be payable subject to One iota achieving certain performance targets over the three years ending September 30, 2016.
"Following the acquisition of Catan Marketing Limited in August 2013, the One iota acquisition further strengthens the company's position in the rapidly expanding mobile enabled ecommerce and online sales markets," Sanderson Chairman Christopher Winn said in a statement.
One iota is based in Lancashire and provides cloud-based, multi-channel platforms via mobile, tablet and in-store devices. For the seven months ended August 31, One iota reported revenues of about GBP610,000 and pretax profit of GBP210,000.
Sanderson Group shares were down 0.4% at 56.80 pence Tuesday morning.
By Steve McGrath; [email protected]; @stevemcgrath1
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