Conclusion buys 145-Strong SAP Specialist in Portugal

Acquisitive Netherlands-based IT services provider Conclusion has agreed a deal to purchase Portuguese SAP services supplier Score Consulting.

The move will add 145 SAP specialists, providing a broad range of advisory, implementation and managed services. It has delivered more than 200 projects for clients including EDP, Bayer and Aeroportos de Portugal, and has an office in Brazil.

Conclusion stated that the acquisition will also bolster its nearshore delivery capability supporting customers in its core territories, and supplement its existing offshore team in South Africa. The company’s model is to expand its portfolio and regional coverage by acquiring mid-size targets, and allowing them to run as independently operating companies under its umbrella.

Conclusion now has 25 different opcos within the group, including data integration specialists AMIS Conclusion, Mulesoft partner Conclusion Accelerate and Microsoft Dynamics implementation partner Conclusion MBS. The firm has more than 2,000 employees worldwide, and clients include ING, KLM and Rabobank.

The company raised €410m in funding in March in order to fund further expansion, as it looks to build on recent momentum. Full-year revenue rose by 27% to €441m, as the company expanded into Germany and Belgium with the purchase of consulting and development firm Mediaan. Based on PAC’s latest rankings, Conclusion ranks as the sixth largest IT services provider in the Netherlands, and the second largest domestic player after KPN Business Market.

Conclusion’s model is an interesting one, and similar to that adopted by Italy’s Reply Group, which has been one of Europe’s fastest-growing IT services providers for several years. The appeal for target companies is to take the next step in their development under the wing of a larger firm at a time when it is becoming more difficult and costly to attract and retain the best talent, and to keep pace with shifts in areas such as AI.

The deal also marks the second acquisition of a European SAP services specialist in less than a week, following TheValueChain’s purchase of Belgian specialist Proxcellence. PAC expects a surge in investment around SAP’s cloud-related portfolio, with spending on related consulting and systems integration services to rise at a CAGR of 25% in the EMEA region. A full breakdown of our latest outlook for the SAP services market can be found here.