Thomson Reuters, owner of tax software Digita, has agreed a takeover deal
worth an estimated $50m (£30m) for Deloitte-owned tax technology supplier Abacus
Abacus currently supplies tax planning, compliance and remittance products to
400 clients in the UK, Ireland, Hong Kong, Netherlands and New Zealand, as well
as more than half of the FTSE 100.
Deloitte’s ownership of the company had restricted it from being able to sell
to other large accounting firms and their clients.
A company statement says the move will allow for software to be used by other
large accountancy firms that previously were competitors to Deloitte.
It added that the acquisition ‘fills a key gap in our ability to offer
corporate tax compliance solutions to large multinational companies.’
Deloitte will continue to use the Abacus software under licence and
approximately 40 employees will transfer with the business. The company will
remain based in London.
Thomson Reuters has confirmed that they are not going to change the brand
for the foreseeable future, but may label it Abacus ONESOURCE to streamline its
title with the other products it sells.
CEO Roy Martin said that he plans to “invest in the products future”.
Adding: “We want to invest in product development and customer service
including products in cloud (online) and Software as a Service form.”
Abacus, the London based tax software business, is thought to be one of the
largest acquisitions for Thomsons outside of its US base.
Thomson Reuters also owns tax software suppliers Digita which recently won
high profile clients such as KPMG and Smith & Williamson. Founded by Jerry
Rihll it was acquired by Thomson in early 2008.
Thomson Corporate, which bought Reuters listed in the UK in 2007, was
previously listed on the Toronto, New York and London Stock Exchanges, with the
company now delisted from the LSE.
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