- Netcall has acquired MatsSoft, a cloud-based low-code software provider.

The initial consideration is £11.1 million in cash and the issue of 3,499,864 new ordinary shares of 5p each in the capital of Netcall.

Potential further consideration of up to £2.3 million cash and 9.5 million Netcall Shares is payable dependent on achieving specified performance targets.

The acquisition is being funded from the company's existing cash resources and a £7 million loan note from Business Growth Fund.

MatsSoft is headquartered in Bedford, UK and has approximately 60 customers globally across private and public sectors, including Vodafone, Nationwide Building Society, ITV and Adur & Worthing Councils. It was founded in 2008 and employs 56 people.

MatsSoft recorded revenue for the year ended 31 December 2016 up 22% to £5.5 million of which recurring revenue was up 38% to £3.3 million.

Henrik Bang, CEO of Netcall, said: "The acquisition will enhance our ability to deliver a unique and powerful set of capabilities and applications that will help our customers accelerate the transformation of their customer engagement. Furthermore, this acquisition increases our cloud presence and will give Netcall access to the fast growing low-code market which, according to Forrester is rapidly being adopted by organisations across the private and public markets."

At 9:43am: [LON:NET] Netcall PLC share price was -1.75p at 65p

Story provided by