Software and consulting player, CDC Software, has pulled out its chequebook again and picked up local Microsoft CRM specialist, Snapdragon Consulting. The integrator acquisition is its third this year.
Snapdragon will become a subset of CDC's local consulting subsidiary, Praxa.
Chairman, John Clough, said Snapdragon's Microsoft CRM expertise would give it a much-needed boost in that market.
As part of the acquisition, Snapdragon founder and managing director, Guy Riddle, will stay on as general manager of the business and assist Praxa's national operations.
Financial details have not been disclosed. Snapdragon's 12 staff have been retained and are moving into Praxa's Sydney and Melbourne offices. Clough said there was virtually no overlap between the two companies' customer bases.
"One thing we are looking at is cross-selling and offering cross-products to customers," he said. "We are strong in CRM overseas, so we wanted to build up that business in Australia.
"What Guy and his team have in the CRM space is exciting. They have a vertical, specialist operation that offers a lot of synergies with our business. We see a lot of spin-off opportunities for our services and other offerings." Clough highlighted Praxa's small business services as an example.
"As a smaller company, they can't follow up on the potential of that - our sales force and our other offerings in Victoria, Queensland and NSW means that we can," he said.
Riddle's reputation as a Microsoft Valuable Professional was also a major plus, Clough said. Riddle founded Snapdragon in 2002.
The Snapdragon acquisition comes four months after CDC Software acquired Queensland-based integrator, PlanTec. At that time, Clough said it was looking to grow Praxa's local revenues from $60 million up to $200 million. It also acquired South Australia-based Vectra Corporation earlier this year.
With 250 full-time staff now on its books, the company was a fair way towards that goal, Clough said. However, he flagged more acquisitions sooner rather than later.
"We've been creeping up for a big one - we've had some nice little ones along the way," he said. "Our objective is unchanged - we have had a lot of experience worldwide in listing and public companies and to get that large customer base in the market you need to grow to that size."