French fintech vendor Linedata Services has signed an agreement to acquire US-based Global Investment Systems (GIS), a provider of back office accounting software to the fund administration and alternative investment industries. Financial terms of the all-cash deal were not disclosed.
Founded in 1992, GIS supplies specialist investment, shareholder and partnership accounting software to over 120 customers in 21 countries. Headquartered in New Jersey, the firm also has offices in Chicago and Dublin.
Recurrent revenues currently account for 90% of GIS' activity. The US firm expects to realise revenues of over $11 million in 2005 - with organic growth of over 10% for an Ebitda margin of 13%.
Commenting on the acquisition, Anvaraly Jiva, CEO and chairman of the executive board of Linedata Services, says together with its existing back office systems, Icon and Chorus, Linedata now has a front-to-back offering which spans the requirements of all market segments, including the North American market.
Linedata says the acquisition will have an immediate positive impact on its net earnings.
The French firm missed out on buying Toronto-based Financial Models Company earlier this year after it was out-bid by US-based SS&C Technologies.