AIT (USA) has acquired Information Management Associates, Inc. (IMA) staff of more than 70 and offices in the US, Australia and the UK, plus selected assets for $16.5 million.
IMA has more than 1,000 customers in multiple industries with 50,000 installed license seats in 27 countries. It intends to preserve its corporate branding in the short term to facilitate communications and integration.
IMA operations in Europe will be integrated within AIT Ltd in the UK. IMA operations in Australia will be re-established as AIT Australia, Pty. Additionally, US operations, as well as operations in the remaining geographic regions, will be integrated within AIT (USA), Inc., located in Cleveland, OH.
IMA has three core products including the Edge product suite, which has a substantial blue-chip installed base. AIT has worked closely with IMA on a large project at Lloyds TSB where AIT’s CRM solution is being integrated with Edge.
AIT’s product range provides thin-client, multi-channel CRM functionality that is highly complementary to Edge. As a result, AIT believes that significant long-term sales opportunities will arise as IMA customers move towards broader-based CRM strategies that can be supported by AIT’s Portrait product.
In the 12 months prior to June 30, 2001, IMA generated a $10.8 million turnover from continuing operations and a $200,000 profit before tax. As of June 30, 2001, the book value of assets acquired, net of deferred revenues, totaled $900,000.
AIT Group reported strong year-end financials with a 40% increase in pre-tax profit over the previous year, including cash balances of $16.1 million and total revenue of $47.4 million.
Carl Rigby, chairman and CEO of AIT, said: “IMA brings a loyal and international blue-chip customer base and a geographically diverse channel through which AIT products can be sold. The transaction is expected to be ‘earnings enhancing’ underpinned by a strong recurring revenue stream and attractive margin potential.
“Having previously worked closely with IMA and several of its channel partners, we look forward to continuing to work with IMA’s management team including Paul Frederick, president, and Michael McGroarty, COO."
About Information Management Associates, Inc.
IMA was founded in 1984 and has since sold software to manage the combination of sales, marketing, automation and lead acquisition that comprises the modern call-center.
About AIT (USA), Inc.
AIT is a leading provider of CRM solutions for the financial services industry. Since 1986, AIT has delivered solutions for clients such as American General, The Woolwich, Lloyds TSB, NatWest and KeyCorp. AIT (USA), Inc. is a subsidiary of AIT Group plc, based in the UK.