News: Urbanise to make acquisition

Urbanise (ASX:UBN) has executed a conditional share purchase agreement with the owners of the Mystrata Group of companies.

Mystrata operates a platform technology business which will complement Urbanise’s current technology platform.

The relevant technology allows customers to manage portfolios of apartment buildings, housing estates and commercial towers and includes the Strataware management, communication, accounting Platform and the Mycommunity Platform of websites and secure portals that integrate with Strataware.

The purchase agreement is subject to a number of conditions precedent including Urbanise successfully completing due diligence on Mystrata.

The owners of the Mystrata will be initially issued shares in Urbanise valued at $10.21 million, at $0.83 per urbanise share.

In certain circumstances, additional Urbanise shares may be issued to the owners of Mystrata in the future where certain earn-out targets are met and provided warranty or indemnity claims by Urbanise do not exceed a specified limit.

Mystrata specialises in cloud software used for the management of condominiums, apartment buildings, commercial towers and housing communities worldwide.

Urbanise also revealed it had entered into a Hosted Services Agreement with Graphite Ltd, a premier UK based provider of remote monitoring systems to monitor energy consumption and costs.

Under the agreement, Graphite will support the installation of Urbanise’s remote monitoring solutions to its existing and new client base.

Graphite works with a range of high profile clients including high street outlets, supermarkets, manufacturing plants and a major mobile telecoms - providing services to more than 1,100 buildings across the UK.

Urbanise is the creator of a cloud-based platform for delivering building services. Designed for service providers, the Urbanise software-as-a-service platform improves customer service, removes operational costs and enables new revenue streams.