Shares digital

Provider of portfolio analytics and data solutions, StatPro (SOG:AIM), has completed the acquisition of Performa Consultants UK, a supplier of software solutions to asset managers for complying with Global Investment Performance Standards (GIPS).

The acquisition is in line with StatPro’s strategy of acquiring complementary businesses and consolidating the sector. StatPro will be paying £7 million before expenses for Performa, with the consideration being increased by the value of Performa’s net current assets at completion above an agreed minimum level, currently estimated to be around £0.8 million. The payment will be satisfied through both cash and the issue of 1.4 million shares.

Performa began life in 1999 with the aim of helping asset managers meet the challenges of compliance with GIPS. It now has 25 largely blue-chip clients in the UK, Europe and North America. Thanks to the deal, StatPro will be able to expand its product offering and global reach, bringing in new clients which will provide many cross-selling opportunities for StatPro’s range of products.

StatPro has completed ten acquisitions since March 2000 and currently has around 400 client contracts in 25 countries and offices in nine countries. The group is due to report preliminary results for the year ended 31 December 2007 on 10 March and says trading for the year is in line with market expectations and significantly ahead of 2006.

The acquisition of Performa is expected to be earnings enhancing in 2008. ‘The combination of StatPro and Performa, both of whom have first class reputations for service, will be a strong force in the global composites market at a time when there is considerably more focus 1-999

on reporting and compliance with regulations such as GIPS and MiFID (Markets in Financial Instruments Directive),’ says chief executive Justin Wheatley. The shares ticked up to 87p.

Shares says: A solid acquisition and the stock looks inexpensive.