Jade Software has bought Methodware, a maker of operational risk management software, for an undisclosed price. Computerworld understands, however, the purchase is valued at around $US12 million.
Methodware provides tools to assess and manage enterprise risk and to validate compliance with requirements like Sarbannes-Oxley and Basell II.
It has 1500 customers in 80 countries through offices in New Zealand, Toronto and London.
New Zealand customers include Airways Corporation, the Ministry of Health and the Defence Force. Global customers include Lloyd’s of London, Skipton Building Society (which has a relationship with Jade), McCain Foods, Halliburton, Adobe and Yahoo.
The software was developed in the early 1990s as a joint venture between Ernst & Young and Paul Waddington. Ernst & Young used it internally. Subsequently, there was a management buy-out.
Jade managing director Rod Carr says there is a good fit between the two companies on a number of levels. “The majority of Methodware’s revenue is earned offshore. This acquisition will boost Jade’s export earnings and allow both of us to access new markets for the products and services of both companies as well as extend our offering to current clients.
“Methodware is particularly strong in the financial services sector. Its products can complement Jade’s bespoke software development in this sector, which currently produces some 25% of Jade’s revenue.”
Carr says Jade will take two seats on the board of Methodware, which will continue to trade under its own brand and current chief executive Chris Moxon, who is a director of the business along with Waddington. The latter fills the role of chief technology officer.
The company has 31 staff and contractors, half of whom work overseas.