ISV, System 77, has merged with Professional Advantage (PA) to further its development of CRM and business intelligence software. It will become a division of the PA Microsoft group.
PA joint managing director, Derek Rippingale, said System77 would continue to run as normal but the merger would give customers the opportunity to upgrade to Microsoft-based products including Dynamics GP, AX and CRM.
"We have known each other for 15 years so it was a transaction that we could go into with a high level of trust," he said. "We will continue to provide support for System 77 products and customers will receive the same level of service."
The merger will add about 150 customers to the PA Microsoft base of about 430. It has also retained 25 staff, according to Rippingale. A member of the technical team left.
System 77 managing director, Graham Rix, has been appointed sales and marketing director of the Microsoft division.
"When customers make the decision to change to a Microsoft-based system we will be there to provide them with a pretty compelling offer. We will still be working with the same staff, which will help make the transition a lot easier," he said.
Rippingale hoped the deal would increase annual revenues by $4 million and said PA would now be exposed to more vertical markets such as the electrical, and food and beverage sectors. He also planned to further PA growth organically and through more mergers.
Rix said after technology failed while trying to redevelop software, he looked at other products and thought Microsoft Business Solutions would mostly suit its customer base.
"What it means for our customers is that we can give them a very strong mature direction with highly skilled staff instead of doing it ourselves and becoming a competitor with PA," he said.
"Over the next 5-6 years this will see us go through a very big growth phase."