Fintech company Aptitude Software is seeking action in the subscription economy via the £37.1 million acquisition of Warrington-based MPP Global Solutions.
MPP Global is a provider of cloud-based subscription management and billing technology. Its eSuite platform offers identity management, CRM, automated billing and payment processing. MPP Global’s customers are largely located in the European and North American media and publishing sector.
Jeremy Suddards, CEO of Aptitude Software, says: “We believe MPP Global is a strong strategic fit, with both businesses positioned to capitalise on the growth in subscription offerings.”
MPP Global was founded in 2000 and its annual recurring revenue (ARR) at 30 June 2021 was £8 million across approximately 40 clients. Customers listed on its website include NBCUniversal, Sky, Daily Mail, L’Equipe and Racing Post. The company’s gross assets as at 30 June 2021 were £5.1 million, principally made up of cash and trade receivables.
According to MPP Global’s website it has 20 million active subscribers; and 700,000 transactions are processed every day on 1,350 media websites.
London-based Aptitude Software was established in 2008 and sees itself as a “financial software specialist”. It says the acquisition is “supported by positive global market tailwinds as dynamics continue to shift towards a subscription-based economy”. The firm has a revenue management client base in medical technology, advanced manufacturing and other unnamed sectors. The acquisition is designed to strengthen its presence in global technology, media and telecom.
Following the acquisition, the combined group will be providing revenue automation focused solutions to over 75 organisations, representing approximately 46% of the group’s ARR. The integration of Aptitude Software and MPP Global is expected to be completed in H2 2022.
It seems there are no job cuts as Aptitude Software explains that MPP Global brings c. 100 new employees to the group, most based in northern England. The business’s North West headquarters is set to become a second “long-term innovation centre” for the group, with c. 60 team members in the MPP Global Software and Technology teams.