JSE listed Adapt IT Holdings has purchased 100% of CQS Technology, a provider of niche audit, financial and risk management software services, in a deal worth R217 million.
CQS has over 20 years’ experience in providing international best-of-breed and unique niche software services and solutions, for audit, data analytics, controls monitoring risk management and financial reporting to more than 4000 customers in 30 countries.
Sbu Shabalala, CEO of Adapt IT, said the numerous synergies between Adapt IT and CQS only highlight the value of this acquisition in augmenting Adapt IT’s overall growth strategy, not only in key sectors in South Africa but wider markets in Africa.
“Adapt IT and CQS can benefit from the synergy and scale advantages that already exist to leverage further opportunities to increase revenue and returns. The entirre CQS leadership and operational teams will remain with the business.”
In August Adapt IT reported surge in revenue to R578 million, for the year ended June 2015, from R408.5 million before.
The company grew headline earnings per share by 35%, to 45.43 cents per share.
Operating profit grew 89% to R93.8 million, from R49.t million in 2014, while profit attributable to shareholders was up 52%.