Proactis snaps up software firm

PROACTIS, the Yorkshire spend control software provider, has acquired Intelligent Capture, one of the UK’s leading providers of document scanning and optical character recognition services.

Wetherby-based Proactis said the acquisition, for £1.55m, is to support the launch of its new offering, Activate.
 
Annual recurring revenue to be acquired as part of the acquisition, payable in cash and shares, is anticipated to be in excess of £1.25m and total revenues of approximately £1.5m.
 
For the year ended 31 March 2014, IC reported turnover of £1.41m on which it made an operating profit of £0.21m.  Net assets at that date were £0.3m. Its blue chip customer base includes BT, Screwfix, BDO and Henderson.
 
Rod Jones, CEO of Proactis, said: “IC is a crucial strategic acquisition for Proactis, accelerating and de-risking the execution of Activate. We have developed Activate through listening to the needs of our customers – there will be obvious cost benefits to them and these benefits will be replicated for their vendors.  In addition, IC consolidates the group’s existing excellent customer base and has encouraging levels of recurring revenue and profitability.
 
“We have worked successfully with IC for some time, partnering in several key accounts. Its expertise in this area is exceptional and we look forward to working with the team to drive Proactis’ strategy forward, and to deliver returns for shareholders.”