Melbourne, Australia-based Oakton will take on the 30 employees of Aston IT Group, which is also based in Melbourne, bringing its total number of staff to 330. Aston IT Group specializes in Microsoft Business Solutions including CRM and ERP packages such as Navision, Great Plains, and Axapta.
Oakton, which reported net profit of AUD 3.2m ($2.1m) on revenue of AUD 20.1m ($13.3m) for its half-year ended December 31, 2002, provides services around business software from companies including Microsoft, IBM and Sun Microsystems. The company had AUD 4.4m ($2.9m) in cash at the end of 2002, most of which will be used for the Aston acquisition.
The purchase will enable Oakton to strengthen its services in the Microsoft technology space, and also to target smaller businesses served by Aston. Oakton already has excellent business relationships with the bigger end of town, and this purchase will substantially broaden our customer base, said Oakton managing director Paul Holyoake.
Aston’s Australian clients include utilities and energy companies such as Bowen Petroleum, the Gladstone Area Water Board, biotech companies such as Promega, and healthcare companies such as Tricare. The acquisition follows Oakton’s August 2002 purchase of Sydney-based Oracle e-business suite services company mPower for AUS 7.5m ($4.9m) in cash and shares to be paid over two-years, subject to performance.
As for Aston’s Danish parent, the sale is the latest in its divestment strategy designed to restore it to profitability. In December 2001, the privately-held company sold off its Aston WebSales, Aston Infrastructure, Aston Akticon and Aston Notes businesses to its former chairman and founder Peter Warnoe.
Source: Computerwire
