Epicor completes acquisition of Solarsoft Business Systems

Epicor acquired Solarsoft for $155 million funded with cash and a draw on an existing credit facility. The company says it sees Solarsoft as extending its reach in end-to-end enterprise business solutions for discrete manufacturing and distribution. Pervez Qureshi, CEO and president of Epicor, cites industries such as automotive, print and packaging, life sciences, food and beverage, electrical components and building materials, as likely to benefit from the increased functionality and experience. "This acquisition strengthens our leadership in the manufacturing and distribution segments worldwide," comments Qureshi, noting that combined annual revenues approach $1 billion. "These solutions, which enable customers to monitor business and boost operating efficiency, are well aligned to Epicor offerings. We are pleased to have completed this acquisition slightly ahead of schedule and excited to begin the process of integrating Solarsoft with Epicor." As for the preliminary financial results, Qureshi expects total revenue for fiscal 2012 to be in the range of $866 to $870 million, compared to fiscal 2011 at $847 million – an increase of 2—3%. International revenues declined approximately 2%, but the company says that Next-generation Epicor ERP (formerly Epicor 9) revenue growth is in line with the overall business, and expected to improve its position in fiscal 2013. Maintenance revenues grew steadily in 2012 with renewal rates stable in the mid-90%. Based on Solarsoft's financial results, Epicor expects to achieve additional annual revenues of $85 million, which includes $3 million of expected synergies from the acquisition.