Capita has agreed to acquire AMT-SYBEX Group Limited (AMT) for an initial consideration of £82 million on a cash free, debt free basis, plus a contingent consideration of up to £23 million based on the business reaching specific profit targets over the next 12 months.
AMT is a proprietary software business providing software and related services in mobile technology and smart data management to the utilities and transport sectors, which are key markets for Capita. Its clients include four of the `big six' energy companies, National Grid, Network Rail and Transport for London.
Founded in 1990, AMT has developed applications for its long term clients that support efficiencies and service delivery in energy and water suppliers, managing the data of 35 million consumers and enabling mobile working for over 35,000 employees. In addition, the company's software products help clients to manage company assets, carry out mobile inspections, and perform maintenance work on infrastructure. AMT's latest developed applications will enable data capture from smart meters as they are rolled out in the UK and throughout Europe.
It is forecasting an operating profit of £13 million on turnover of £45 million in its current financial year to January 2015.
"There are therefore powerful synergies with Capita's existing footprint as it works within the utilities markets to drive transformational change, improve efficiency, use data analytics to improve customer attraction and retention and get businesses and customers better connected through using digital and other channels more effectively.
In addition, AMT's products and services, particularly as part of a wider Capita offering, have valuable applications in a range of other sectors, including health, defence, oil and gas and the finance and insurance markets. We look forward to welcoming the business into Capita and working with it to realise its full potential," Andy Parker, Capita chief executive.
AMT employs around 250 employees based in Dublin, Belfast, Glasgow and Letchworth.
Completion of the acquisition is subject to approval from the competition authority in Ireland.