SYDNEY, AUSTRALIA: Count Limited (ASX:CUP), a leading provider of group services and solutions to accounting and financial planning businesses, has announced the acquisition of Solutions Centric, an Australian company that provides offshore accounting, tax and SMSF services out of India.
The acquisition, which is expected to complete before 31 March 2024, will see Count acquire 51% of the business based on an enterprise valuation of $4.1m. Count will pay an upfront consideration of $1.6m and the remainder over 12 and 24 months respectively, subject to Solutions Centric achieving certain EBITA targets in each 12-month period. Further earn-outs may be payable if Solutions Centric achieves additional growth targets.
Solutions Centric, founded in 2016, has a reputation for delivering outstanding service and providing tailored and highly technical support to accounting businesses. The acquisition continues Count’s strategy of expanding its Services segment to complement its existing group services that support accounting and financial planning businesses (IT and offshore capabilities), along with actuarial certificates, SMSF and tax training/education.
Hugh Humphrey, Chief Executive Officer at Count, said the acquisition supported Count’s strategic focus on expanding its Services segment.
“This acquisition continues Count’s recent strategic growth momentum with the addition of a quality and highly technical outsourced services provider. We know that accounting firms are still experiencing resourcing challenges, so the need for reliable external providers with strong technical knowledge has never been more important in servicing clients and supporting practice efficiency,” he said.
Krish Sritharan, Managing Director and CEO at Solutions Centric, said he was excited about leading the next chapter of the business and the benefits that come from joining the Count community.
“This strategic partnership with Count allows for the next stage of evolution and development for Solutions Centric within the professional services industry. The existing synergies between Count and the management team at Solutions Centric will provide a strong platform for growth and support to the Accounting and Financial services industry in Australia,” he said.