Proactis makes another acquisition

PROACTIS, the Yorkshire spend control software provider, has today announced the acquisition of Intesource.

Following its acquisition of EGS Group in February,the Wetherby-based business said the deal, for $3.9m, will increase the group’s scale and profitability, and provide a substantial footprint and expertise in the US market.

US headquartered Intesource is a provider of e-auction services. Proactis said the deal offers strong opportunities to cross-sell its own complementary product suite and operational savings are expected through the consolidation of elements of its existing operations in the US. 
 
For the year ended December 31 2013, the audited accounts of Intesource showed turnover of $5m on which it made an operating profit of $610,000. Gross assets at that date were $2.9m.

Rod Jones, CEO of Proactis, said: “Intesource is an excellent strategic fit for Proactis, and marks a significant step in the group’s growth strategy through the provision of increased scale, profitability and further growth opportunities. In addition, the group will benefit from synergies with its existing US operations.”
 
Completion of the acquisition is expected to occur within six weeks and Proactis said it will fund the acquisition from its own cash resources.