Midlands-based software group has expanded its foothold in the United States by acquiring a profitable SaaS business for up to $7 million.
The acquisition involves a digital quality inspection solution company that serves the manufacturing and advanced engineering sectors. The California-based firm employs 15 individuals and boasts a client roster that includes prominent names such as Boeing, NASA, and Virgin Galactica.
An initial payment of $5 million will be supplemented by two deferred payments of $1 million each, contingent upon meeting certain performance benchmarks.
According to the executive chairman, this acquisition aligns with the group’s strategy of acquiring businesses with strong intellectual property and recurring revenue streams. He noted that there is a growing trend among Original Equipment Manufacturers (OEMs) to implement automated inspection processes within their supply chains to reduce costs and enhance product quality.
The move is seen as a consolidation of the group’s position in the rapidly expanding quality market and a strengthening of its presence in the United States.
The acquisition represents a strategic expansion for the Midlands-based group, enhancing its capabilities and competitive position in the quality inspection market.