IT services firm ASG Group has acquired ASX-listed Oracle database firm AD-B Group for $3 million, claiming it gives the company an in-road to lucrative defence contracts.
Geoff Lewis (Credit: ASG Group)
"[A-DB] has a great blend of government and blue-chip corporate clients, with presence in education, health, defence and financial services," ASG managing director Geoff Lewis said in a statement to the ASX today.
The acquisition tightens ASG's ties with Oracle, with development and administration skills in its software a core capability of AD-B. The buy adds 55 staff to ASG's ranks and has given it an office in South Australia it previously lacked.
"We believe the acquisition will provide ASG with a great additional customer base and a springboard to build a substantial market share in Queensland and South Australia," Lewis added.
A-DB has been based in Brisbane since 1997 and in Adelaide since 1983 with 2007 revenues at $6 million. The company specialises in Oracle and Microsoft database administration, Oracle application development and defence system support.