Innofactor makes an acquisition in Denmark

Innofactor Plc (OMXH: IFA1V) has agreed to acquire Copenhagen-based Bridgeconsulting A/S from in a cash and shares deal valuing the Danish business intelligence, data warehousing and corporate performance management solutions developer around 2 million Euros, ranging from 1.6 million to 3.0 million depending on realized EBITDA over the following 12 months. One and a quarter million Euros in cash will be paid in cash before July 16th, something which Innofactor will finance with new debt, and the remaining settlement in Innofactor’s shares will take place next year.

Bridgeconsulting’s net sales for current fiscal year ending after September are estimated to be around 4 million Euros with an EBITDA margin of 10%. This would mean that the company has managed to maintain the around 20% sales growth shown in the last couple of years and pretty much double its EBITDA margin from last two fiscal years. It employs 25 people in Copenhagen. Bridgeconsulting’s CEO Cristian Andersen will remain as the manager of the new unit now called Innofactor A/S and enter Executive Board of Innofactor Plc.

Over the longer term, Innofactor aims to become the leading player in the Nordic countries as Microsoft’s system integrator partner and the leading ISV partner in value-added cloud and mobile services. The acquisition supports growing geographical reach. Bridgeconsulting has won praise from Microsoft with the title of Microsoft’s business intelligence partner of 2009 and 2010 in Denmark. Its customers include large Danish organizations ranging from government owned entities to global enterprises and private firms.