Quisitive Announces Acquisition of Corporate Renaissance Group
Corporate Renaissance Group, a leading provider of Microsoft technology, corporate consulting, and business software and systems based in Ottawa, Ontario, was recently acquired by Quisitive Technology Solutions (www.quisitive.com). An excerpt from the press release follows below.
Toronto, Ontario / TheNewswire / June 5, 2019 – Quisitive Technology Solutions, Inc. (“Quisitive” or the “Company”) (TSXV: QUIS), a premier Microsoft solutions provider, today announced it has agreed to a transaction effective June 1, 2019 to acquire all of the issued and outstanding shares (the “Purchased Shares”) of Corporate Renaissance Group Inc. (“CRG”), a leading provider of Microsoft technology, corporate consulting, and business software and systems based in Ottawa, Ontario (the “Transaction”). The details of the Transaction are set forth in a definitive share purchase agreement between the Company, a wholly-owned subsidiary of the Company, and the shareholders (the “Vendors”) of CRG, that was negotiated at arm’s length. Completion of the Transaction is subject to the approval of the TSX Venture Exchange (“TSXV”).
Like Quisitive, CRG is an award-winning Microsoft partner, recently recognized as Canada’s capital region’s #1 partner for Microsoft Dynamics solutions. With over 4,500 customers worldwide, CRG has established themselves as experts in business management, financial management, management consulting and software development. CRG generated unaudited revenues of approximately C$7.8 million, of which 30% is recurring revenue, and unaudited adjusted EBITDA of approximately C$3 million or 38.5% EBITDA margin in calendar year 2018.
CRG brings a loyal customer base across both its core consulting business and SaaS offering, CRG emPerform, an enterprise-class employee performance management software solution which accounts for the 30% recurring revenues. For more than 30 years, CRG’s seasoned leadership team and host of talented employees have been delivering solutions in Microsoft Dynamics, Microsoft SharePoint, business intelligence, financial and costing principles and employee performance management.
“Teaming up with the CRG team is an important milestone in realizing Quisitive’s growth vision. CRG expands Quisitive’s geographic base throughout Canada, United States and the Caribbean and complements our Microsoft Azure and Microsoft Office 365 cloud services by adding CRG’s expertise in the implementation, customization and support of Microsoft Dynamics,” said Quisitive CEO Mike Reinhart. “CRG also introduces a change to our business model as they have annual recurring revenue which is more predictable revenue for our shareholders. This transaction will accelerate our collective opportunity to become the premier Microsoft solutions provider in North America for Microsoft business solutions and cloud innovations.”
Decisive Technologies is a value-added reseller of IT hardware, and BriteSky Technologies is a Canadian, managed cloud services provider (collectively “Decisive”). Decisive needed additional capital to accelerate its expansion plans. The shareholders were adamant that a new institutional partner should share their values and vision for the company, and FirePower was engaged to find an acquirer for a majority stake and negotiate a deal structure that met all of the shareholders’ objectives.