Join our daily newsletter At The Bell to receive exclusive market insights
- Cloud tech specialist JCurve Solutions (JCS) buys the Thai operations of software company Rapid E-Suite for a potential $800,000
- Under the deal, JCurve will pay an upfront fee of $300,000 with another $500,000 to be paid based on Rapid E-Suite’s one-year sales performance
- The buy gives JCruve access to Rapid E-Suite’s 20 existing customers in Thailand, local development intellectual property (IP), and more
- CEO Stephen Canning says Southeast Asia is a strategic growth region for JCurve
- JCurve shares have gone untraded this week but last closed at 5.8 cents each on Friday, June 25
Cloud tech specialist JCurve Solutions (JCS) is buying the Thai operations of software company Rapid E-Suite for a potential $800,000.
JCurve told investors today it will pay an upfront fee of $300,000 to take control of the Thailand-based business, with another $500,000 to be paid based on Rapid E-Suite’s sales stats for the first year after the purchase.
This $500,000 earn-out fee will be paid in two tranches: the first in February 2022 and the second in August 2022.
By buying up Rapid E-Suite’s Thailand business, JCurve gets access to its 20 existing customers in Thailand, the associated business contracts, the local development intellectual property (IP), and the Thailand operations goodwill.
JCurve CEO Stephen Canning said the company was excited by the opportunities the Rapid E-Suite purchase brings to the business.
“Southeast Asia is a strategic growth region for JCurve Solutions, and the acquisition of Rapid E-Suite further extends both our reach and capabilities, including an experienced team of ERP professionals,” Mr Canning said.
JCurve Chairman Mark Jobling shared similar sentiments, saying digital transformation has been a “hot topic” for business in Thailand for several years.
“With the acquisition of Rapid E-Suite, JCurve Solutions is ideally positioned to support Thai businesses through this transition,” Mr Jobling said.
According to JCurve, Rapid E-Suite tabled around $600,000 in revenue and around $100,000 in earnings before interest, tax, depreciation, and amortisation (EBITDA) from its Thai operations over the 12 months to the end of April 2021.
JCurve offers cloud-based management services to businesses, including enterprise resource planning (ERP), service delivery management, and digital marketing.
Similarly, Rapid-Esuite operates a cloud-based ERP platform and offers consulting, management, and maintenance services to clients.
Today’s purchase comes just weeks after JCurve announced the $244,000 buyout of Creative Quest Events and Marketing Services.
JCurve shares have gone untraded this week but last closed at 5.8 cents each on Friday, June 25. The company has a $19 million market cap.
