21 Jun 2010
LONDON, 21 June 2010 - Xchanging plc (LSE: XCH), one of the largest and fastest growing global business processors, has today agreed to acquire Data Integration Ltd. (DI), one of the UK's leading networking, security and communication technology providers. DI is a privately owned company employing 56 people with leading customers in both the private and public sectors in the UK. The company specialises in network security, application optimisation, mobility solutions, high performance networks, IP telephony and open access networks. DI has been Xchanging's preferred network partner for the last 24 months.
The acquisition of DI will strengthen Xchanging's technology capabilities in network managed services and establish a reseller platform. DI also brings a strategic customer base in the UK through its existing network managed service contracts.
The acquisition consideration will be paid in cash over two years through a combination of a guaranteed payment of £6.5 million and an earnout of up to £2.5 million, contingent upon the acquired business delivering operating profit targets. DI reported revenues of £14.5 million for the year ending 31 March 2010.
Commenting on the acquisition, David Andrews, CEO of Xchanging said, "We see an exciting future for us together as BPO services are increasingly delivered through cloud computing-based technologies. Xchanging and DI have already created this electronic managed service for claims handling with the London insurance market - a leading example of the power of new generation technologies in business processing".
For further information, please contact:
David Andrews, Chief Executive Officer
Richard Houghton, Chief Financial Officer
Tel: +44 (0) 20 7780 6999
Tel: +44 (0) 20 7930 0777
Xchanging is one of the largest and fastest growing business processors. With a wide range of multinational customers in 42 countries and employing over 8,000 people, we are a truly global company.
Our aim is simply to provide business processing services better, cheaper and faster. Xchanging provides procurement, accounting, human resources and technology services across industries. These include banking, insurance, manufacturing, retail and real estate among others. We combine functional expertise with deep industry domain knowledge to provide industry-specific outcomes for our customers.
Listed on the London Stock Exchange in 2007, the company is in the FTSE250, the index of mid-capitalised companies traded on the London Stock Exchange. Xchanging is also a member of the FTSE4Good index which measures the performance of companies that meet globally recognised corporate responsibility standards.