Information Services Corp.'s services segment, through its subsidiary ESC Corporate Services Ltd., acquired automation software technology services firm AVS Systems Inc. for C$25 million in cash at closing.
Information Services may pay up to a further C$20 million over the next 13 months, depending on future business with Canadian financial institutions and auto and equipment finance companies.
AVS will operate as a division of ESC and will retain its existing president, Chris Valentine.
The transaction should be mildly dilutive to ESC's EPS, but accretive to adjusted EPS in 2018 and EPS in 2019.
CIBC Capital Markets acted as Information Services' financial adviser on the deal.
