Australian billing, data management and customer care solutions provider Hansen Technologies is to acquire catalog-driven software vendor Sigma Systems for $166.2 million.
Headquartered in Canada, Sigma was established in 1996 and has more than 70 customers and 480 employees in its head office in Toronto.
Its catalog-driven product applies real-time, enterprise-wide pricing structures to quote and capture orders and can be used for standardised consumer offerings to complex tailored enterprise services.
Hansen Technologies, which is listed on the Australian Securities Exchange (ASX), expects the acquisition to close on 31 May.
Through the acquisition, Hansen hopes to expand its scale and scope in the telecommunications sector.
"The acquisition represents a strategic move to enhance our value proposition to the telecom, pay-tv and energy verticals," Hansen CEO Andrew Hansen said.
"Over the course of the last ten years, we have driven an exceptional growth strategy through acquisitions, achieving a compound annual growth rate of 28 per cent over the last four years.
"Bringing Sigma Systems onboard further strengthens our ability to provide valuable solutions to our customer base and creates new expansion opportunities to cross-sell Sigma’s software solutions into our broad base of energy customers."
Sigma also offers end-to-end management of an order, with its portfolio inventory providing a single source of "knowledge" on all products customers have ordered and services activated. It is also able to manage, track and activate a complete range of network application services and devices.
"Sigma's products are well-designed to capture growth opportunities from the roll-out of new telecommunications services such as 5G," Hansen said in a statement.
"With over a 23-year history serving the needs of the telecom industry, it is with great pride that we move to the next chapter in Sigma’s history," Sigma CEO Tim Spencer added.
"In the last year, Sigma has been pursuing an aggressive growth strategy through increased focus on product and cloud adoption, growth through adjacent verticals and an enhanced go-to-market partner strategy.
"The acquisition of Sigma by Hansen Technologies represents two strong companies coming together, a strong combined value proposition, and the acceleration of the Sigma strategy."