Ideagen plc, the UK-based global software firm, has today announced the acquisition of Redland Business Solutions Ltd for £15.8m.
Redland is a RegTech software-as-a-service (SaaS) company which supplies regulatory and compliance software to the financial services industry.
Its software platform, ‘Insight’, provides banks, investment managers, asset managers and insurance companies with solutions that underpin the Senior Managers & Certification Regime (SM&CR) and individual employee competency.
Redland currently generates revenue of circa £4.2m – of which around £3m is recurring. The company brings more than 40 clients to the Ideagen Group, including, seven FTSE 100 and two Fortune 500 companies. Clients include Nomura, Santander, Investec, Hargreaves Lansdown and Rathbones.
Ideagen CEO, Ben Dorks, said: “Redland is a high growth, successful and profitable software company which will significantly strengthen our audit and risk business unit. It is a single product, brand rich organisation which cements our position in the financial services vertical and, at the same time, falls in line with our key business strategy of migrating to a SaaS business.
“This acquisition enhances Ideagen’s financial services domain knowledge and provides us with ‘first mover’ advantage in relation to SM&CR compliance and in the general regulatory evolution of the financial services industry.”
David Hornsby, Executive Chairman of Ideagen, said: “Redland is an extremely valuable addition to the Group and is in line with our strategy of acquiring Integrated Risk Management businesses that have strong intellectual property (IP) and growing recurring revenues.
“Financial services is an important vertical market for Ideagen and the combination of Redland’s Insight platform with Ideagen’s Pentana will provide a compelling proposition covering internal audit, risk management, certification and SM&CR compliance.”