Sage acquires mid market HR and Payroll
provider, Snowdrop Systems Limited, for an enterprise value of £17
million
Sage (UK) Limited (“Sage”), a leading
supplier of business management software and services to small and
medium sized businesses, announces the acquisition of Snowdrop
Systems Limited (“Snowdrop”) for an enterprise value of £17
million, paid in cash. Snowdrop provides leading Human Resources,
Personnel and Payroll management software, and related services, to
over 700 mid sized businesses in the UK, focusing on the 50-2000
employee range.
The company, which was established in 1991, provides businesses
with the software they need to automate and manage more effectively
a broad range of HR activities including recruitment, personnel,
pay and flexible benefits, e-HR, training and development, and
succession planning.
In the full year to December 2006, Snowdrop reported revenues of
£7.5 million and EBITA of £1.1 million. Revenues in the year to
December 2006 were up 35% over the prior year.
Paul Stobart, Chief Executive of Sage UK and Ireland region,
comments, “The acquisition of Snowdrop brings to Sage a portfolio
of HR and Payroll software solutions for the mid market,
complementing perfectly our existing offerings which are
predominantly aimed at smaller businesses.”
Stobart continues, “Our customers have been indicating for some
time a strong interest in automating and managing more effectively
their HR activities. The acquisition of Snowdrop, with its
specialist range of HR software products backed up by first class
service and support, will enable us to provide our customers with
exactly what they require in the HR field.”
Michael Richards, Chief Executive of Snowdrop, adds, “Snowdrop
joining Sage presents a number of exciting opportunities for both
our customers and our employees. The additional resource and
support that Sage can provide, combined with Snowdrop’s expertise,
means that we can realise our full potential. We will continue to
support our existing customers and offer Snowdrop software as
standalone solutions whilst at the same time developing software
and services for Sage’s existing and future customers.”
Editor’s Notes
About Sage (UK) Limited
Sage (UK) Limited is a subsidiary of The Sage Group plc, a
leading supplier of business management software and services to
5.2 million customers worldwide. From small start-ups to larger
organisations, we make it easier for companies to manage their
business processes. Formed in 1981, the Group was floated on the
London stock exchange in 1989 and now employs over 13,000 people
worldwide. Further press information is available at http://www.sage.co.uk/press_office.aspx
About Snowdrop Systems Limited
Snowdrop Systems Limited was founded in 1991 by Human Resources
and IT specialists to deliver effective software solutions to
support the HR function. Snowdrop designs & develops solutions
that manage the entire employee life-cycle from recruitment &
personnel to training & development & succession planning.
It has become one of the top suppliers of HR software &
services and has enjoyed strong, stable growth. Snowdrop’s clients
include Pret A Manger, Ofcom and Wates Group.