K3 eyes acquisition targets

LANCASHIRE software specialist K3 business technology is continuing its search for acquisition targets.

The business, based in Colne, provides software and consultancy services to retailers and manufacturers.

In a pre-close trading statement the directors said they viewed the firm’s long-term growth prospects “very positively” and were seeking “complementary acquisitions”.

In the six months to June 30, the group performed broadly in line with expectations. K3 said its manufacturing software division traded robustly and average order values were significantly higher than last year.

“The new business pipeline for the retail software solutions division remains encouraging but extended buying cycles continue to be a challenge”, added the statement.

The business remains cash generative enabling the further reduction of net debt, which is expected to come in at £9m at the end of the year, compared with £13m in December. 
 
The group’s half-year results will be announced in early September.