IT services firm USC has acquired a boutique ERP reseller named Xapt Australia for an undisclosed sum. Xapt is a reseller of the Navision ERP suite Axapta, and currently services around 10 medium and large clients along the Eastern Seaboard.
USC executive chairman Geoff Lord said it was important for USC to add Navision products to its e-business portfolio. Danish-based Navision was recently acquired by software giant Microsoft, which now markets the software alongside several other financials packages it gained by acquiring Great Plains Software.
USC already has a solid Great Plains offering after recently acquiring two Great Plains resellers, Eclipse Computing and a division of chartered accounting firm William Buck.
According to Lord, the latest acquisition was all about covering bases with regards to Microsoft's business software. "We are keen to get on both sides of the alliance," he said. "It is quite possible that Great Plains and Navision will come together as a single product in the future. If Microsoft chooses to do that, we will be in a stronger position with this acquisition complete."
USC's Eclipse division was recently included in the Microsoft Business Solutions Inner Circle', a group reserved for the top 1 per cent of Microsoft's business solutions resellers around the globe.
Although he would not comment on the value of the Xapt acquisition, Lord said that the terms of the acquisition were "attractive", so much so that he expects a complete return on investment within 12 months. "We pick up service and consulting contracts with Xapt clients and the deal will add about $2 million a year to group revenue, at good margins," he said.
USC will hire about five key sales and marketing personnel from Xapt's 20-odd staff as part of the acquisition.