REG - Accesso Technology - Acquisition

accesso TechnologyAnnouncement

24/04/2023 07:15

For best results when printing this announcement, please click on link below:
http://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20230424:nRSX1373Xa&default-theme=true

RNS Number : 1373X  Accesso Technology Group PLC  24 April 2023

24 April 2023

accesso Technology Group plc

 

("accesso" or the "Group")

 

Acquisition of Paradocs

 

New addition supports commitment to capitalize on significant growth
opportunity in ski sector

 

Acquisition expands global customer base, adds new cutting-edge technology and
extends the Group's leading ski market position

 

The Board of accesso Technology Group plc (AIM: ACSO), the premier
technology solutions provider for attractions and venues worldwide, is pleased
to announce the acquisition of Paradocs Mountain Software ("Paradocs"): a
leading Canadian-based provider of cutting-edge software solutions
specifically tailored to the unique needs of ski industry (the "Acquisition").
The Acquisition is pursuant to the terms of an equity purchase agreement
entered into on 21 April 2023 (the "Acquisition Agreement").

 

Paradocs was established in 2001 to help ski resort operators optimize the
mountain experience for their visitors. The hosted, all-in-one mountain
management solution, MtnOS(SM) - now branded accesso Paradox(SM) - is
considered one of the most comprehensive and contemporary ski-specific
operating systems on the market, currently leveraged by 48 Canadian and 2 U.S.
resorts to optimize operations and enhance the overall visitor experience. The
flexible hosted solution empowers ski areas to take full control of their
operations - across ticketing and passes, snow school, retail, equipment
rental, food & beverage, administration, and online sales - in one,
unified platform.

 

Acquisition Highlights

 

The Directors believe that the Acquisition will be earnings accretive in the
current FY 2023 financial year and:

 

·    Provide accesso with a proven, hosted solution for the ski sector - a
key strategic growth target for the Group;

·    Further solidify our position as the key technology solutions
provider to the ski industry, with the addition of 50 ski resorts - bringing
the Group's total ski customer base to 153 resorts across North America and
offering a clear migration path for existing accesso Siriusware(SM) ski resort
customers looking to transition to a fully hosted solution;

·    Deliver measurable growth in eCommerce revenue as the Group improves
and expands upon Paradocs' existing online booking module;

·    Further enrich our industry expertise with the addition of 38 new
team members with a tremendous passion for ski and snow sports;

·    Create strategic opportunity for cross-sell with other accesso
solutions.

 

Terms of the Acquisition Agreement

 

accesso agreed to acquire the equity of Paradocs from the founder and
management team at Paradocs for a total consideration of $10m comprised of $9m
in cash and $1m in accesso shares. A total of 117,636 shares will be issued in
connection with the Acquisition in four equal tranches, commencing in October
2023, with the remaining three tranches payable at six-month intervals
thereafter through to April 2025 and contingent upon founder transition
support during the issuance period. The cash consideration was funded through
the Group's existing strong cash reserves.

 

Financial Information

 

For the fiscal year ending 31 August 2022, Paradocs reported revenues of
CAD$2.34m, an increase of 35.8% over FY 2021, with a gross margin of 93.5% and
net income margin of 16.6%. Recurring revenues accounted for 62.7% of total
reported revenue. In the accesso group, Paradocs' results will be reported
under IFRS.

 

Commenting on the Acquisition, Steve Brown, Chief Executive Officer
of accesso said:

 

"Accesso is passionate about serving the ski industry, and incorporating
Paradocs' specific expertise and experience into our offering is a powerful
step forward in addressing the unique and evolving technology demands of the
burgeoning ski market. Adding this contemporary and powerful solution to our
offering supports Accesso's long-standing commitment to serving as the
industry's premier ski solutions provider."

 

Nicolas Dubé, Founder and Chief Executive Officer of Paradocs added:

 

"We are thrilled to join forces with Accesso - a truly like-minded innovator
that shares Paradocs' dedication to ski and snow sports with a customer-first
approach. Our team at Paradocs is excited to play an expanded role in the
overall advancement of our beloved industry, and we look forward to continued
success with Accesso."

 

The information contained within this announcement is deemed to constitute
inside information as stipulated under the Market Abuse Regulations (EU) No.
596/2014.  Upon this announcement's publication, this inside information is
now considered in the public domain.

 

For further information, please contact:

 

 accesso Technology Group plc                                  +44 (0)118 934 7400
 Steve Brown, Chief Executive Officer
 Fern MacDonald, Chief Financial Officer

 Numis Securities Limited (Nominated Adviser and Sole Broker)  +44 (0)20 7260 1000
 Simon Willis, Hugo Rubinstein

 FTI Consulting, LLP                                           +44 (0)20 3727 1000
 Matt Dixon, Emma Hall, Jamille Smith

 

 

About accesso Technology Group plc

 

accesso is the leading global provider of patented and award-winning
technology solutions that redefine the guest experience, drive increased
revenue, streamline operations, and support data-driven business decisions for
leisure & entertainment operators. Currently serving over 1,000 venues in
29 countries, accesso invests heavily in research and development to provide
venues with technology that empowers them to deliver unforgettable guest
experiences. Staffed by a team of attractions, cultural venue and ski industry
veterans, accesso partners with venues to increase their range of on- and
off-site guest engagement to drive increased revenue through intuitive
ticketing, point-of-sale, virtual queuing, distribution, and experience
management technology.

 

accesso is a public company, listed on AIM: a market operated by the London
Stock Exchange. Learn more at accesso.com (http://www.accesso.com/) or follow
accesso on Twitter (https://twitter.com/accessotech) , LinkedIn
(https://www.linkedin.com/company/accesso/) and Facebook
(https://www.facebook.com/accessoTechnologyGroup/) .

 

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  ACQEALLDASKDEFA