Topic: How To Invest

Spinoffs & Takeovers Hotline – Friday, January 17, 2025

Article Excerpt

ENGHOUSE SYSTEMS LTD., $27.12, symbol ENGH on Toronto, is a software and services provider. The company operates through two business groups: Interactive Management (59% of total revenue) sells software for managing customer interactions; and Asset Management (41% of revenue) offers technology solutions for network operators and software solutions for transit and transportation operators. Acquisitions have fuelled much of the company’s growth and helped to diversify its operations. On December 16, 2024, the company announced that its U.K. subsidiary acquired Acculab PLC for an undisclosed amount. That firm’s main product is Acculab Cloud, a CPaaS (communications as a service) solution that integrates voice and video calls, messaging, and fax management. Acculab will operate under Enghouse’s Interactive Management group. Estimates suggest that 90% of businesses will adopt CPaaS by the end of 2026, up from just 30% in 2022. In its fiscal 2024 fourth quarter, ended October 31, 2024, Enghouse’s revenue rose 2.1%, to $125.7 million from $123.1 million a year earlier. The gain was primarily due…