Xchanging to spend $11.5m on analytics company Spikes Cavell

6th Feb 2015 16:24

Xchanging is to buy analytics company Spikes Cavell Analytic Limited (SCAL) for up to $11.5m, as the London-listed business services group looks to "differentiate its products and services through technology-enablement".SCAL is a British company that provides spend analytics technology and services mainly to the UK public sector and higher education authorities in the US. SCAL is also said to be increasingly providing its services to the private sector.Based in Newbury in the UK and Virginia in the US, SCAL has 35 employees and generated revenues of £1.8m in the year ended 31 March 2014.Xchanging will pay $6.75m on completion and up to a further $4.75m over the next two years, dependent on SCAL's operating performance."Increasingly organisations are recognising the major savings that can be made by using technology to enhance their procurement strategies," said Xchanging's chief executive Ken Lever.