Capita share price: Company acquires geospatial solutions specialist Sigma Seven
Capita Plc (LON:CPI) has bought geospatial solutions company Sigma Seven Ltd, in a bid to strengthen its presence in the utilities sector. The outsourcing giant announced the move on Friday, without disclosing the financial terms of the deal.
Founded in 2000, Sigma Seven is mostly known for its GeoField software, which is designed for use on mobile devices such as tablets. The product allows field engineers to access company files, organise their work, plan tasks and record data directly on to digital maps. Among the firm’s clients are UK utilities companies such as Scottish Power, UK Power Networks, Wales & West Utilities and Southern Water. Sigma Seven has also worked in partnership with AMT-SYBEX, which was acquired by Capita in May, last year. With the two companies under its belt, Capita will be able to provide a more complete set of solutions to its clients in sectors such as utilities and construction and engineering.
“The acquisition of Sigma Seven will provide further scale and depth to the range of solutions that Capita can offer utilities, construction & engineering, environment and government sectors,” the company’s chief executive officer Andy Parker said. He added that the purchase would lead to significant synergy benefits such as “complementary products, an overlap in client base and prospective clients”.
In today’s trading, Capita shares were down 1.2 percent at 1,194.00p, as of 10:31 UTC. The stock has risen 10.3 percent since the start of the year, boosting the company’s market capitalisation to £7.9 billion.
According to the Financial Times, the 18 analysts offering 12 month price targets for Capita have a median target of 1,200p, with a high estimate of 1,365p and a low estimate of 950.00p. As of March 07, 2015, the consensus forecast amongst 29 polled investment analysts covering Capita has it that the company will outperform the market. This stance has been maintained since the sentiment of investment analysts improved on June 09, 2014.
As of 12:59 GMT, Monday, 09 March, Capita PLC share price is 1,191.50p.