mynth
08/2019

TASCOMI acquired by IDOX

UNITED KINGDOM Software / Industry-Specific Software / Construction / Real Estate EV 0M - 15M GBP

Context

On August 12, 2019, Idox plc executed a 100% acquisition of Tascomi Ltd. The transaction was structured on a cash-free, debt-free basis, financed via an accelerated bookbuild placing of new ordinary shares to raise net proceeds of approximately seven million pounds. The structural framework of the deal included an immediate cash consideration, the extinguishment of all existing debt facilities within the acquired entity, and a deferred performance-linked component to be settled post-completion. This strategic rationale is underpinned by a compelling industrial logic, enabling the acquirer to materially accelerate its cloud-first strategy and seamlessly integrate a native SaaS architecture into its existing product portfolio. By absorbing a modern, proven platform, the acquiring entity effectively circumvents substantial and lengthy internal redevelopment costs while establishing a next-generation suite of solutions tailored for core public sector markets. Furthermore, the combination generates significant cross-selling opportunities and provides a highly scalable foundation to capture adjacent software verticals. The operational synergies expected from replacing legacy systems with this newly integrated technology will drive immediate margin expansion and bolster the combined entity's annualised recurring revenue base.

TASCOMI, which reported an EBITDA margin of LOGIN in 2019, is valued in this transaction at an EV/EBITDA multiple of LOGIN, representing a LOGIN to the average currently observed in the TMT (Tech, Media, Telecom) sector (14.8x).

Note that this data is based on contribution from our growing community, composed of M&A and Private Equity professionals, and has been verified by our team to ensure its accuracy.

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Target

Tascomi Ltd is a United Kingdom-based software developer specialising in Software-as-a-Service platforms engineered specifically for local authorities and government departments across the UK and Ireland. Leveraging a highly scalable architecture, the firm provides mission-critical applications that streamline complex public sector workflows, with a distinctive value proposition centred on building control solutions and land and property administration. Operating a highly resilient recurring revenue model, the business derives significant stability from its entrenched relationships with public sector entities, demonstrating strong customer retention and a growing annualised recurring revenue profile.

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Historical Financials (GBP)

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REFERENCES

Valuation range: EV 0M - 15M GBP

Revenue range: 0M - 5M GBP

EBITDA range: 0M - 5M GBP

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Authors: verified mynth contributor (mynth data is contributed by M&A / PE professionals and systematically cross-verified with private deal documents and official press releases).

Press release: view release

Acquirer: idox