Fast-expanding alternative business structure Quindell Portfolio today announced the acquisition of a supplier of a case-management system.
Quindell, which over the past year has acquired three law firms, announced the takeover of iSaaS Technology Ltd to the AIM stock exchange this morning. The company markets web-based software for handling personal injury cases.
The deal is worth £1.34m in cash and the issue of 38m Quindell shares, representing around 1% of the group’s issued share capital. These shares, which were selling this morning at 11.75p, will be locked in for between 12 and 36 months.
The iSaaS management accounts for the three months to 31 March forecast turnover of £0.5m and profit before tax of circa £0.4m.
Quindell said the new acquisition provides cloud-based software to the medico-legal and legal services industries in the UK and overseas. The model continues Quindell’s strategy to provide outsourced services, consultancy and technology to its customers.
The company has also acquired personal injury law firms Silverbeck Rymer, Pinto Potts and The Compensation Lawyers as it forms a model to combat the reforms to civil litigation and PI costs coming into force next month.
Rob Terry, chairman and chief executive of Quindell said: ‘Our strategy is to provide outsourced services, consultancy and technology directly to our customers, whilst also offering them alternative models including SaaS based solutions such as those provided by iSaaS.
‘The team at iSaaS have a progressive and disruptive approach to their market, which we believe delivers significant benefits beyond our own operations and it is great that we are now able to formalise this relationship through this acquisition.’
The rush of merger activity in the past year has seen Quindell’s share price rise from around 8p a year ago to almost 12p today. But the value of the shares has dropped from a high of 17.5p last November.