24 May 2007
Following recent speculation about its ownership, IRIS has
confirmed that it has appointed UBS, the investment bank,
to advise on a potential sale of the business.
The company can also confirm that there has
been considerable interest from major private equity firms as well
as from the international professional publishing sector. There
have been no discussions with any other software houses. It is
anticipated that the whole process should be concluded by around
the end of June 2007.
The IRIS Group has a 28 year history and has
achieved rapid growth over the last five years in
its predominantly subscription based revenues, achieving a
market leading position in accountancy practice solutions and a
leading position in payroll, HR and
accounting software.
In October 2000, IRIS made the first
successful transition from an owner managed business, to an
institutionally owned one, when Lloyds TSB Development
Capital ("LDC") funded a buyout. This was followed by an MBO
in July 2004 led by Group Chief Executive, Martin Leuw
and backed by HgCapital and LDC.
In making this announcement, Leuw said: "The
priority has always been to manage these transitions in a way which
maintains our total focus on our customers’ needs for a stable
relationship with their software partner. We have made four
acquisitions since 2001 and, in each case our emphasis has been on
“business as usual” for all customers. The focus of management and
shareholders will remain totally aligned, with a
commitment to continuing both the excellent product and the service
record that is associated with the IRIS brand, as evidenced by a
customer retention rate well in excess of 90%".
