GB Group builds its identification plans

Identity management business GB Group has bought out Advanced Checking Services (ACS) in a deal which could rise to £5 million.


Identity management business GB Group has bought out Advanced Checking Services (ACS) in a deal which could rise to £5 million.

Identity management business GB Group has bought out Advanced Checking Services (ACS) in a deal which could rise to £5 million.

Glasgow-based ACS provides electronic checking of driving licenses to allow organisations to ‘comply with their obligations under health & safety and corporate manslaughter legislation’.

GB Group says the deal will expand its product portfolio in its DataAuthentification business and enable it to gain a bigger share of the verification of driver credentials market.

While the deal consideration is only an initial £420,000, additional payments taking the deal total up to £5 million are payable over a period of four years dependent on ACS’s growing its profitability.

Richard Law, chief executive of Chester-based GB Group, says that the purchase of ACS is an ‘excellent strategic fit’.

Law adds: ‘It also represents an opportunity for the new business to extend its reach into new markets, such as insurance, transportation and fleet management where driver checking is a major compliance issue.’

For the year ending 28 February 2011, ACS recorded revenues of £410,000 and profits of £73,000.

The acquisition is the second for GB Group this month following its purchase of Data Discoveries for £610,000.

The two deals are part of GB Groups strategy to be the ‘UK’s leader’ in identity management software and services.

Law explains: ‘GB Group has achieved pleasing growth in this sector in recent years as a result of its ability to better understand individuals and their behaviour which continues to form a core part of GB Group’s strategy to be the UK’s leader in identity management.’

GB Group’s services are used by customers such as ASOS, Ladbrokes and O2.

Todd Cardy

Todd Cardy

Todd was Editor of GrowthBusiness.co.uk between 2010 and 2011 as well as being responsible for publishing our digital and printed magazines focusing on private equity and venture capital.

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