West Perth-based software and services provider Stratatel has acquired private IT company Resource Systems and Services for $500,000.
The announcement is below:
Emerging software and services provider Stratatel Limited (ASX: STE) (Stratatel or Company) announced today the acquisition of the business and assets of Resource Systems & Services Pty Ltd (Resource) through its wholly owned subsidiary Card Manager Pty Ltd (to be named Resource Systems Pty Ltd trading as Stratatel Resource post completion) for total consideration of $500,000 to be paid in eight monthly instalments from the Company's existing cash reserves.
Resource is a leading certified IBM Business Partner in WA with experience in Domino, Rational, WebSphere and Lotus, and has developed proprietary software solutions for corporate customers using IBM software technology to address business requirements including document management and helpdesk solutions. In addition Resource provides ongoing application management services in support of these customised IBM software solutions.
Stratatel's Managing Director Mike Fairclough said, "The relatively modest price paid for this business belies its potential to be a significant contributor to revenue and earnings for the Company.
"Whilst Resource currently services primarily WA customers, the Stratatel plan is to roll out the services across Australia, establishing the company as one of IBM's premier National Software Business Partners.
"Stratatel now not only delivers our own world class software products and services but has access to IBM's as well, with revenue generating alliances with Telstra, Optus, NEC, Canon, and now IBM."
Mr. Fairclough went on to say, "We now turn our attention to increasing sales and commencing a major drive to establish a national presence"
Resource is expected to be earnings per share accretive in its first full year under Stratatel ownership.
