Scisys completes acquisition of Annova Systems for £9.7m

(ShareCast News) - Information and communications technology provider Scisys has completed the acquisition of Munich-based software provider Annova Systems for €11.35m (£9.7m), in order to put it in "a stronger market position" across Europe.The acquisition, which is expected to be "strongly" earnings enhancing from 2017 onwards, was funded through a new bank loan from Deutsche Bank with a three-year earn-out of up to €16.48m (£14.09m) in cash or shares subject to reaching targets.Annova supplies newsroom editorial solutions in the media sector based on its OpenMedia software, which enables "story-centric workflows" for news to be created for distribution on any medium.Some of Annova's customers are public and commercial broadcasters across Europe, including a 12-year contract with the BBC.For the year ended 31 December 2015, Annova generated revenues of €7.5m, earnings before interest and tax (EBIT) of €1.1m and operating cash flow of €1.4m.Shares in Scisys were up 0.11% to 110.12p at 1022 GMT.