Emailcenter UK Ltd has been sold to Xtremepush, an Irish-owned multi-channel analytics and engagement firm, in a seven-figure trade sale that will see the Towcester based email marketing business expand its staffing, product and services base.Founded in 2001 by local tech entrepreneur, Nigel Williams, Emailcenter was an early innovator in exploiting the market potential of email in customer relationship management.
The sale to Xtremepush creates an integrated digital marketing service provider, adding enterprise-class analytics of mobile and web customers, and driving market engagement with personalised messaging, web, app push notifications, and iBeacon and geo-fencing capabilities.
The business fit could not be better, according to the former Emailcenter UK Ltd owner, who says there is exciting added-value opportunity for existing Emailcenter clients, as well as extensive scope to grow the tech firm.
“With the way the industry is going, the majority of Emailcenter’s 200 clients already have, or will have, a need for the Xtremepush multichannel services, such as push, In app, web push, location services, SMS or social channels”, Nigel Williams says.
With Nigel Williams stepping down from the business he founded, Jason McSweeney, his Co-Director at Emailcenter UK Ltd, will lead the UK Business.
Christian Williams is also staying on at the successful tech company, to support the client relationships and services nurtured by his father over the last 15 years. Chris Minet will also continue his role as Technical Operations Manager.
Cross-selling multi-channel analytics and engagement tools to Emailcenter clients will be a focus for growth, and gives the business a unique offering internationally, the Xtremepush CEO Tommy Kearns adds.
There are plans for additional investment in the UK business, in the region of £500-£700K per year, for the next two to three years, to achieve maximum business integration and customer alignment.
Xtremepush owns its own technology stack and the UK acquisition completes a multi-channel solution, creating one of few global companies owning their own entire technology, end-to-end, the CEO says.
“The technical capabilities Xtremepush now own puts us in the same bracket as Adobe, IBM and other such service providers for the mid-sized enterprise market”, he adds.
FinRes, the Dublin-based mergers and acquisition advisory firm, advised on the Emailcenter deal and capital strategy. The multi-million pound acquisition was funded by UK based Capital Step in an innovative revenue-linked and debt-financing structure.
The acquisition of Emailcenter’s trade, technology and products, ‘Maxemail’ and ‘Maxautomation’, fit well into the existing Xtremepush multichannel analytics and engagement product offering, Tommy Kearns believes.
“Emailcenter are experts in the ESP market, and have been for over 15 years. They have evolved to become the email marketing platform of choice for some of the UK’s biggest brands, and this acquisition provides an ideal platform to market a complete multi-channel solution, giving Xtremepush a unique digital marketing offering internationally”, the tech boss outlines.
The Xtremepush software provides an effortless user experience, significantly reduces cost and increases revenue, and the Dublin business has extensive knowledge and international experience in sectors including banking, sports, gaming, media, retail and travel.
Clients for Emailcenter’s data driven digital marketing services already include Saga Group, Ethiopian Airlines, MegaBus, skypark secure, Jardine Motors, Citybond Holdings, Onthebeach.co.uk, Pearson Education Limited, NS & I, and Jason Atherton Group.
The Northamptonshire business has over 200 enterprise customers across 6 main verticals including agencies, travel, leisure, E-commerce, insurance and Government.
Liz Earle Beauty Co, Affinity Bars & Restaurants, hungryhouse, Gordon Ramsay Group, the Natural History Museum, Visit Britain and Go Compare are among the consumer brands working with the email marketing specialists.
Business Doubles in Value
The UK deal will see the Dublin tech firm more than double in size and value immediately. Xtremepush was founded by CEO Tommy Kearns and CTO Dr. Kevin Collins in 2014. The business currently employs 20 people in Ireland, the Ukraine, and the US, with the new acquisition bringing total employment to 41.
To further support business development, Xtremepush intends hiring at least 20 additional staff in the next 18 months, in roles including customer support, sales and engineering.
“The group now comprises the UK leader in email service provision for enterprise customers, using best of breed technology and complementary products to the Xtremepush offering. In geographic terms, the new large UK team gives us good reach for fast growth”, Kearns claims.
Xtremepush has achieved year-on-year growth of over 100% in the last two years, and approximately 115% growth in 2017 alone.
The business is targeting 100% growth over the next 12 months, on top of the UK email service revenue, and will achieve this through further sales expansion through direct and partner channels.