Acquisitive mid-market business software firm The Access Group has bought Yorkshire-based warehouse management provider Delta Software for £5.4m. This is Access’ fifth purchase since its £50m management buyout, backed by Lyceum Capital in March last year (see Access benefitting from MBO).
This latest acquisition of Delta will add to Access’ software portfolio for the UK mid-market. Delta provides integrated warehouse management software (DeltaWMS ) for third party logistics, wholesale, distribution, manufacturing and bonded warehouses. It has over 100 customers including Eddie Stobart, Life Fitness, Maxi-muscle and Kimberley-Clark, which Access sees being complementary to its 5,000 customers. So there should be plenty of opportunities for cross-selling and up-selling products.
The other four acquisitions since the MBO have been channel resellers to boost Access' internal software sales and support capabilities. These included DHC Finance (April 2012), Hoge 200 (January 2012), Elite (December 2011) and Accounting Technology Ltd (August 2011). By going direct, versus via a third party, Access will get a closer interaction with its customers, and it should also benefit margins.