ASX-listed DWS (ASX:DWS) will push into the SAP and PeopleSoft space following its acquisition of Graeme V Jones & Associates (GVJ) for $800,000.
The acquisition brings an additional 17 staff on-board across Sydney and Melbourne. In an ASX release, DWS CEO, Danny Wallis, said the acquisition was an opportunistic one, as GVJ was an underperforming business but fit strategically.
“Graeme Jones & Associates has an excellent reputation in the SAP and PeopleSoft space, and this is an area of the market which DWS has not actively pursued,” Wallis said. “We are optimistic that with some focused management attention, we will be able to return the GVJ business to its previous highs [during 2007] when it was turning over some $29 million in revenue.”
2010 revenues from GVJ’s operations is expected to be approximately $4 million.
GVJ executive chairman, Graeme Jones, will also stay on for two years to assist in building it back up.
GVJ was founded in 1990 as an IT consultant and established a specialist ERP practice in 1993.
DWS suffered from a profit drop earlier in the year, however, it has had some significant success with Government tenders recently, winning an e-tax tender worth in excess of $10 million, and a multimillion dollar tender with the Australian Communication and Media Authority.