IDOX Acquires Election Software And Managed Services Provider For £3.5m
IDOX plc, a leading independent supplier of software and services, has acquired Opt2Vote Ltd, one of the UK's leading providers of electoral managed services and innovative democracy solutions, for a maximum cash consideration of £3.5m.
Opt2Vote provides expertise and knowledge across all areas of election management and specialises in the provision of managed services solutions and innovation in areas such as e-Counting and Early Voting. Opt2Vote supplies electronic vote counting solutions to the 32 Scottish local authorities as well as managed print services to UK councils. It is based in Londonderry, Northern Ireland.
IDOX will pay an initial consideration of £2.7m, with a further payment of £0.8m in 2013 dependent on the achievement of certain financial performance conditions. Opt2Vote reported revenue of £3.6m and operating profit of £0.5m in the financial year ended 30 June 2011 and on completion will have £0.6m of cash. The acquisition will be funded from IDOX's cash and debt facilities.
Opt2Vote products and services will complement solutions provided by Strand Electoral Software, acquired by IDOX in 2010 and will enable the Group to deliver a comprehensive range of democratic solutions and managed services. More than one-third of local council elections across the UK and elections for the Mayor of London and London Assembly in May 2012 will be supported by IDOX as a result of this acquisition.
Richard Kellett-Clarke, CEO of IDOX, said:
"This acquisition further cements our strategy to deliver a broad range of electoral software solutions and managed services at a key time for local authorities. The Government's localism agenda will drive an increase in the number of local elections and changes in the way that elections are managed.
"Opt2Vote has a strong track record in delivering efficiency gains with its managed print services and its e-Counting service is set for rollout in the forthcoming local elections in Scotland. The combined capabilities of Opt2Vote and Strand positions us as a key provider in the growing UK electoral market."