Thomson Snell & Passmore advises Eleco Plc on its acquisition of BestOutcome Limited
Eleco Plc, the AIM-listed specialist software provider for the built environment, has acquired BestOutcome Limited, a high quality SaaS business and leading UK provider of simple, scalable Project Portfolio Management (PPM) software, for an initial consideration of £4.825m in cash (an adjusted initial value of £3.525m on a cash-and-debt-free equivalent); and a potential deferred consideration of £0.5m subject to attaining specific performance targets in 2023 and 2024. Law firm Thomson Snell & Passmore advised Eleco on the deal.
The acquisition of BestOutcome represents further progress in Eleco’s growth strategy to enhance its recurring revenue and increase value to its shareholders, by investing in synergistic software products and technologies to strengthen its building lifecycle portfolio. BestOutcome’s core products PM3 and PM3 Time are used to manage strategic programmes and multiple projects, targeting a broad audience of asset owners / operators in the building lifecycle.
Headquartered in the UK, with centres of excellence in Sweden, Germany, the Netherlands and the USA, Eleco is a specialist international provider of world-class software and related services to the built environment through its operating brands Elecosoft®, and Veeuze®.
Eleco’s software solutions are trusted by international customers and used throughout the building lifecycle from early planning and design stages through to construction, interior fit out, asset management and facilities management to support project delivery, estimation, visualisation, Building Information Modelling (BIM) and property management.
BestOutcome is based in Gerrards Cross, Buckinghamshire, UK from where it provides award-winning project portfolio management solutions to the public, private and charitable sectors.
Joanne Gallagher, M&A Partner and Head of Corporate at Thomson Snell & Passmore led the legal team on the purchase for Eleco. She was supported by Daniel Gorringe, Freya Vale and Jack Pavey in the Corporate team.
Due to the nature of the transaction, the deal necessitated a multidisciplinary project team, which included Joanne Wright and Robert Trench on Real Estate, Ben Stepney on Employment, Andrew Davies on Commercial / IT/ IP matters, Mathew Boyle on Pensions and Nitzan Cohen on Corporate Tax.
Commenting on the acquisition, Jonathan Hunter, Chief Executive Officer of Eleco, says: “The acquisition of BestOutcome represents another milestone in the development of Eleco as a leading provider of world-class software solutions to the built environment. The addition of BestOutcome’s simple, well designed, scalable PM3 project portfolio management SaaS software to Eleco’s existing software portfolio will enable Eleco to meet the needs of a diverse audience in the built environment.
“The directors and owners of BestOutcome have reinvested profits into building a world-class team and ensured that the business is well-governed, achieving certification as a Great Place to Work®, Cyber Essential Plus and ISO27001 accreditation. The investment in research and development, through doubling its development team over the last few years, makes it stand out amongst its peers as a highly secure and practical solution for planning and managing transformation programmes for customers in public and private sectors. We look forward to working with our new colleagues as we solve the challenges of the built environment together.
“It has been a pleasure to work with Thomson Snell & Passmore from the initial offer through a thorough diligence and completion. Joanne and the team were responsive, professional at all times and had full regard for Eleco’s interests.”
Joanne Gallagher at Thomson Snell & Passmore adds: “We are delighted to have worked with Eleco in relation to this acquisition as part of its growth strategy. There are many synergies between Eleco and BestOutcome, and it was great to have been able to harness our M&A expertise in the technology sector, to complete this transaction.”