To strengthen its position in NFP and NGO market
CDC Software, a provider of enterprise software applications and services, said that it has completed a definitive agreement to acquire gomembers, a provider of software as a service (SaaS) and on-premise offerings for the not-for-profit (NFP) and non-governmental organisations (NGO) market.
The acquisition is part of CDC Software’s SaaS roll-up strategy to complement its on-premise offerings in verticals including NFP/NGO, retail, financial services, consumer electronics, apparel, consumer packaged goods (CPG), travel/leisure/loyalty and sports/entertainment.
Founded in 1996, Chicago-based gomembers offers enterprise offerings to NFP’s such as the Armed Forces Communications and Electronics Association International, Water Research Foundation, University of Iowa and The United States Conference of Catholic Bishops.
CDC Software said that it plans to launch this SaaS offering leveraging its global business and technology platform that features an infrastructure of multiple complementary applications and services, expertise in vertical markets, product engineering centres in India and China and 24/7 customer support.
Last quarter, CDC Software completed the acquisition of WKD Solutions, a provider of supply chain event management offerings marketed under the brand Categoric. In November, it has completed the acquisition of enterprise manufacturing intelligence provider Activplant and has also announced a definitive agreement to acquire eCommerce platform provider Truition.
Bruce Cameron, president of CDC Software, said: We are excited to be in a position to finalise our acquisition of gomembers, which we anticipate will serve as the launch pad for other acquisitions in the NFP/NGO market. From a financial perspective, the company is profitable with a strong management team and solid recurring revenue as they have successfully transitioned from a traditional license model to a managed service model.
“In addition, we anticipate numerous cross-sell opportunities with pivotal CRM and our other front office solutions. As we have stated previously, this acquisition is expected to be earnings accretive immediately and fits within our strict valuation criteria.