Software company swallowed in £1m plus deal

A SALFORD software developer has been snapped up by a technology group from across the Pennines.

Aura has been swallowed by Sheffield-based Servelec for £1, plus £900,000 for the company’s debts.

Servelec will pay up to £350,000 over the next three years based on performance.

Aura’s software controls bed management and patient flow across hospitals, clinics and primary care centres, enabling improved care of patients.

Aura’s unaudited accounts for the year to March 2015 showed a pre-tax loss of £1.5m on a turnover of £1.1m.

Its cost base has already been reduced from £2.6m to below £1m for the current financial year and its directors believe there is a strong pipeline of future revenue.

Servelec expects the acquisition to be earnings neutral in 2015 and enhancing thereafter.

Alan Stubbs, chief executive of Servelec Group said: “The quality of Aura’s technology is second to none…we are really excited by the additional growth opportunities Aura offers.”

Walker Morris partner Paul Emmett and Ed Ainscoe both from the Corporate Team, provided legal advice to Servelec. Deloitte provided financial advice to Servelec.