K3 Business Technology Acquires Pebblestone IP

LONDON (Dow Jones)--K3 Business Technology Group PLC (KBT.LN), a provider of Enterprise Resource Planning solutions to the supply chain industry, said Tuesday it agreed to acquire the Intellectual Property (together "Pebblestone IP"), international sales channel and customers from the Pebblestone Group, the developer of Microsoft-based ERP software modules for the fashion industry, for an initial consideration of GBP700,000 (EUR850,000) cash. MAIN FACTS: -A deferred consideration of up to EUR400,000 is due in 2011, dependent on Pebblestone IP's out performance over 2009 levels. -Pebblestone IP comprises a range of specialist software modules designed to enrich the functionality and performance of Microsoft Dynamics ERP solutions for fashion wholesalers and garment manufacturers; 33 distributors across 20 countries currently resell this solution and support some 300 customers. -K3 intends to integrate Pebblestone IP within its existing retail software operations in Holland. -For the year to Dec. 31, 2009, Pebblestone IP generated revenues of GBP740,000 and a pretax profit of GBP185,000. -Acquisition supports K3 plans to expand in Western Europe. Shares of K3 Business at 0755 GMT unchanged at 116.5 pence, valuing the company at GBP29.9 million. -By Tapan Panchal, Dow Jones Newswires. Tel +44(0)207-842 9448, tapan.panchal@dowjones.com (END) Dow Jones Newswires June 29, 2010 03:58 ET (07:58 GMT)