Class has announced the acquisition of another corporate compliance and documentation provider following the purchase and integration of NowInfinity earlier this year.
The SMSF technology platform stated it had wholly purchased all the shares in Smartcorp for $4.2 million and will pay $2.73 million as an upfront cash payment on completion of the deal, with the remaining $1.47 million to be issued in Class shares escrowed for 18 months.
In announcing the deal today, Class stated the transaction was likely to be completed by 20 August and the addition of Smartcorp would complement the NowInfinity business, purchased in January.
Class chief executive Andrew Russell said the addition of Smartcorp would boost its presence in the document and corporate compliance market.
“Smartcorp is one of the pioneers in this segment, and when combined with NowInfinity will see Class with approximately 10 per cent market share by revenue,” Russell said.
The new acquisition operates a platform that delivers documents to accounting and professional services firms and financial advice networks, and currently services more than 1500 businesses, primarily in the accounting space, including two of the big four accounting firms.
“Combined with NowInfinity, we will continue to build our capabilities and compelling value proposition to ensure we help all our customers manage their clients’ businesses more effectively through a comprehensive suite of services. This acquisition will also offer Smartcorp clients a broader range of products and services,” Russell said.
According to Class, it holds nearly 30 per cent of the market share for SMSF administration software, and in the past 12 months it has integrated with partner firm Cloudoffis and acquired documentation provider NowInfinity, and now provides data feeds to the Xplan financial planning software.
