- Ansarada (AND) shares rose today after announcing the $5.2 million takeover of risk compliance business TriLine GRC
- TriLine offers governance, risk and compliance (GRC) as well as environmental, social and corporate governance (ESG) software
- Ansarada CEO Sam Riley says the complementary purchase “radically extends” the services the company can offer to both TriLine and Ansarada customers
- Ansarada will fund the deal from existing cash reserves, with the purchase expected to be earnings accreditive in its first year
- Shares in Ansarada closed up 6.25 per cent at $1.53 each
Virtual data room specialist Ansarada (AND) shares rose on the ASX today after announcing the $5.2 million takeover of risk compliance business TriLine GRC.
Ansarada told shareholders this morning it would fund the deal from existing cash reserves, with the purchase expected to be earnings accreditive in its first year.
TriLine offers governance, risk and compliance (GRC) as well as environmental, social and corporate governance (ESG) software to help businesses ensure they are meeting regulatory standards and important non-financial principles in their operations.
The TriLine tech is offered in a software-as-a-service (SaaS) model.
Why the buy?
Ansarada CEO Sam Riley said the complementary purchase “radically extends” the services the company can offer to both TriLine and Ansarada customers.
“In today’s world, organisations must continually improve their risk management, audit, compliance and broader GRC and ESG practices,” Mr Riley said.
“It is exciting to expand our product solutions with a comprehensive GRC platform that enables organisations to gain visibility, improve performance and reduce the cost of their compliance and risk management activities.”
He said most companies still managed GRC processes in a “fragmented” way — often through a combination of emails and Microsoft Excel.
“The need to invest in a centralised SaaS solution to improve efficiency, gain trust with stakeholders and future-proof their operations is becoming imperative,” he said.
Mr Riley said the TriLine buyout added 10 extra modules to the Ansarada platform to accelerate growth in the $52.5 billion addressable GRC market.
According to Ansarada, TriLine tabled $2.2 million in revenue over the 2021 financial year, during which the business was profitable and cashflow-positive. What’s more, TriLine has grown its revenue by 147 per cent over the past five years.
Roughly 10 per cent of TriLine’s customers are also Ansarada customers.
Complementary services
Ansarada’s virtual deal room software is designed to help facilitate mergers and acquisitions between companies.
The software acts as a storage space for documents relating to the transactions, but Ansarada takes things one step further by adding artificial intelligence-based analytics and insights into the tech.
Ansarada said it had helped customers manage information for more than 24,000 transactions in 15 years.
“The addition of GRC products strengthens Ansarada’s position with the corporate advisors, the C-suite and boards by adding more solutions that they rely upon every day to protect and sustainably grow their business with confidence,” Mr Riley said.
Shares in Ansarada closed up 6.25 per cent at $1.53 each.