News & Media

Class Limited announces acquisition of documentation provider Smartcorp

Sydney, August 13: Class Limited (ASX: CL1), Australia’s leading SMSF technology platform, has announced the acquisition of corporate compliance and documentation provider company, Smartcorp.

The transaction involves the acquisition of all of the shares in Smartcorp, for $4.2m. The transaction comprises an upfront cash payment of $2.73m on completion, plus $1.47m in Class shares escrowed for 18 months.

The transaction is expected to be completed by 20 August 2020, and to be earnings accretive in FY21.

Smartcorp was founded in 1979 and in 2003 launched Australia’s first online company ordering and ASIC compliance system. It operates a platform that has delivered more than 500,000 documents to accounting, professional services firms and financial advice networks.

Smartcorp currently services more than 1500 businesses, primarily in the accounting space, including two of the Big 4 accounting firms. Smartcorp enjoys long-term relationships with its clients, with the average relationship standing at more than a decade.

Smartcorp will complement Class’ NowInfinity business and will help in growing Class’ footprint in the document and corporate compliance market.

“Smartcorp is one of the pioneers in this segment, and when combined with NowInfinity will see Class with approximately 10% market share by revenue,” Class’ Chief Executive Officer, Andrew Russell, said. “Acquiring Smartcorp accelerates the role Class will play in the documentation and corporate compliance space.

“Combined with NowInfinity, we will continue to build our capabilities and compelling value proposition to ensure we help all our customers manage their clients’ businesses more effectively through a comprehensive suite of services. This acquisition will also offer Smartcorp clients a broader range of products and services,” Russell said.

Class has a well recognised and established market share of almost 30% in Australia’s SMSF administration software with a customer retention rate of over 99%. The ongoing strategic growth of the Class business, consistent with its Reimagination Strategy, involves identifying new sectors for the product suite to support, including more strategic solutions for our current customers and the broader professional services sector.

ENDS

For further information or to arrange interviews, please contact:
Keith Barrett
Reverb Media
E: keith@reverb-media.com.au
P: 0415 751 100

We regularly run online demonstrations of our solutions, so you can see how intuitive they are, and the productivity gains they can deliver.

Request a free trial

We're here to help. Simply email or call us to speak with one of our team who will happily answer any questions you might have.

Contact us