Troy, New York, USA, 20 February 2007 – MapInfo Corporation, provider of location intelligence solutions, has announced that it has acquired privately-held Graphical Data Capture Ltd. (GDC), a London-based location intelligence provider and partner of MapInfo for the past 17 years.
The acquisition will expand MapInfo’s product offering and further deepen its domain expertise in the public sector, which is the largest vertical contributor to MapInfo’s Europe, Middle East and Africa (EMEA) operations and worldwide revenue.
GDC develops applications and offers consulting services primarily to local and regional UK government authorities, in addition to utilities, financial services and insurance companies.
The GDC senior management team has over three decades of experience in the UK Public Sector. Approximately 80 percent of GDC’s revenues come from local government customers based in the UK, while the remaining 20 percent is generated from a broad range of customers in verticals such as utilities, financial services and insurance.
In the public sector, GDC’s platform allows local authorities to share data internally and externally, provide staff with location-intelligent information to enable more informed decisions, eliminate data silos, respond to a range of queries that span various departmental lines and work more effectively with partner organizations. GDC has 43 employees.
Under the terms of the transaction, the purchase price was approximately ₤6.5 million in cash (approximately $12.7 million), subject to a working capital adjustment. As part of the transaction, MapInfo will acquire approximately £1.5 million in cash (approximately $2.9 million).
MapInfo expects the acquisition to contribute approximately $4 million in revenues for the remainder of its fiscal year ending September 30, 2007. From a profitability perspective, GDC is expected to be neutral to the company’s earnings per share on a full year fiscal 2007 basis, including non-cash amortization of intangibles expense of approximately $0.6 million.
The transaction is expected to have a positive impact on MapInfo’s cash from operations in fiscal 2007, while it is expected to be accretive from a reported earnings per share perspective in fiscal 2008.
– About MapInfo
MapInfo is a provider of location intelligence solutions, integrating software, data and services to provide greater value from location-based information and drive more insightful decisions for businesses and government organizations around the world.