Sydney-based knowledge management and portal products integrator Knowledge Partners has acquired the customer base and some key staff of Systematics Information Systems (SIS), a similar company which is now in voluntary administration.
Rod Gregor, a Knowledge Partners director, told [ital]ARN[ital] last week the transaction involved taking over the city premises of SSI and adding a number of "law firms and government accounts".
"It was a very reasonable price and it worked out very well for us," was all Gregor would reveal about the purchase from SSI's administrators, Knights Insolvency Administration.
"We have a strong focus on knowledge management solutions for the legal industry and can only benefit from taking over a number of [Systematics'] active legal accounts."
Gregor said it was not his business to discuss why SIS went into voluntary liquidation late last year, but he did say as an ex-Hummingbird (formerly PC-DOCs) partner, SIS was moving in similar market circles to Knowledge Partners.
Adrian Duncan of Knights Insolvency Administration, is handling SIS's settling-up process which is ongoing after the company's directors commenced proceedings in October. Liquidation commenced a month later.
Duncan said most of the company's debts were comprised of wages to directors and other employees, and outstanding unpaid rent.
He suggested SIS didn't adjust quickly enough to the changing environment and agreed that even though they were attaining services revenues, the products being moved were rapidly moving towards commodities. "At the end of the day, I guess they didn't have enough turnover to sustain the overheads."
Gregor said the company is a startup with only five staff at present. "We would expect that to be up to about seven or eight by the end of the year and double that next year," he said.
With a stated focus on knowledge management solutions for the legal industry, the organisation has allied itself to Hummingbird's products and intends moving into new "portal technologies" coming onto the market from the vendor.
Other partners SIS has reseller agreements with include UK-based companies Kramer-Lee and Workshare Technologies. Gregor described Kramer-Lee as a solutions provider of "third-party legal products based around PC-DOC's products while Workshare has a document comparison tool which is somewhat of a standard in the law industry.