For immediate release
21 June 2004
STATPRO GROUP PLC
(“StatPro” or the “Group”)
StatPro Group plc invests in advanced web-based technology solution
In line with its strategy to offer software solutions using leading-edge technology, StatPro Group plc, the AIM listed provider of portfolio analytics solutions for the global asset management industry, is pleased to announce its investment in an advanced internet based technology solution to be marketed as StatPro GIPS Manager.
StatPro already has a strong market position with its StatPro Composites product, which assists asset managers to achieve and maintain compliance with Global Investment Performance Standards (GIPS) or Association for Investment Management and Research Performance Presentation Standards (AIMR-PPS). Fund managers are under increasing pressure to provide GIPS compliant performance statistics and StatPro’s systems also assist in the efficient and effective distribution of performance data and statistics within firms.
The Board’s view is that the market for composite solutions is set to continue to expand and to encompass not only the largest asset managers but also a larger number of smaller and medium-sized firms. As a result of the increased demand for efficient GIPS compliance solutions by asset managers and their institutional clients and the impending new standards (‘Gold’ GIPS), there has been an increased requirement for an advanced internet based Application Service Provider (‘ASP’) composite reporting solution. In order to accelerate the development cycle, the Board decided some months ago to evaluate an internet based GIPS management system being developed by an independent team of developers. The product, GIPS Manager, which contains many innovative features and is capable of delivering a scalable ASP GIPS service suitable for both large and small asset managers, will be demonstrated to StatPro clients over the next few months.
The GIPS Manager development team have formed a company SiSoft Sarl (‘SiSoft’), based in Paris. StatPro is subscribing Euro150,000 (approximately £100,000) for a 51% stake in SiSoft. Under the terms of the transaction, StatPro has an option (exercisable between 31 March 2009 and 31 December 2014) to acquire (and the existing shareholders have a corresponding option to sell) the remaining 49%. To determine the amount payable (which is capped) under the option, the value of SiSoft will be derived by applying a formula of one times the annual recurring revenue generated by the GIPS Manager product globally, adjusted for the net assets of SiSoft on exercise of the option. StatPro has also entered into a commercial revenue-sharing agreement whereby StatPro has the worldwide exclusive rights to licence the GIPS Manager product in return for a fee.
Commenting on the investment Carl Bacon, Chairman of StatPro Group, said: ‘Our continued investment in leading edge technology will cement StatPro’s strong position in the composites solution market. We therefore look forward to a successful launch of our new product, the benefits of which we expect to begin to see in the second half of 2005.’
– Ends –
For further information, please contact:
StatPro Group plc
|Justin Wheatley, Chief Executive||020 8410 9876|
|Andrew Fabian, Finance Director|
Corporate Synergy Plc
|Justin Lewis||020 7448 4400|
Weber Shandwick Square Mile
|Mike Kirk/Rachel Taylor||020 7067 0700|
Notes to Editors
StatPro Group plc is a leading provider of portfolio analytics solutions for the global asset management industry, which floated on the London Stock Exchange in May 2000. StatPro transferred its listing in June 2003 to AIM and has grown its continuing revenue from £1.8 million in 1999 to £8.4 million in 2003.
In a recent independent survey conducted by the Spaulding, Group StatPro was number one out of 33 suppliers for Composite, Performance and Attribution systems, in response to the question: ‘Which three suppliers would you consider in your system selection?’
Global Investment Performance Standards (GIPS) or Association for Investment Management and Research Performance Presentation Standards (AIMR-PPS) are established global standards for presenting performance data to prospective clients. Asset managers are realising that to participate in the global market they will have to achieve GIPS compliance. Asset managers are also under increasing pressure to reduce costs. StatPro’s solutions provide tools that efficiently collate, store and maintain performance data on composites.