CALGARY, AB, October 6, 2021 / PRNewswire / – Sylogist Ltd. (TSX: SYZ) (“Sylogist” or the “Company”), is pleased to announce the acquisition of MISSION CRM Ltd. (“Mission CRM”), the developer of the Mission CRM fundraising and donor engagement SaaS platform for large and medium-sized businesses – non-profit market organizations. Following the transaction, which was closed on October 6e, 2021, Sylogist acquired all the shares of Mission CRM for $ 2.67 million (CAD), approximately 3 times annual rolling revenue, subject to working capital adjustments, plus a earn-out linked to agreed revenue targets over the next three years. Annual earn-out milestones reflect a compound annual growth rate greater than 100%, with the company reaching more than $ 8.5 million of the annual turnover at the end of the earn-out period. If Mission CRM achieves its earn-out milestones, the total purchase price will equal approximately 1x the revenue at the end of fiscal 2023. The two founders of Mission CRM will remain with the company to drive its growth.
Founded in 2016, Mission CRM set out to develop an innovative 100% SaaS fundraising and donor engagement platform, based on a Microsoft Dynamics 365 and Azure foundation; fully embracing Microsoft’s Common Data Model (“CDM”) for nonprofits and non-governmental organizations. With its latest release in 2020, and unlike other point solutions products on the market, the platform provides transparent constituency engagement, online fundraising and campaign pages, event management, peer-to-peer fundraising, donation processing, fund distribution, postal integrations, and CRA receipt.
Since the commercial release of the Mission CRM platform, 21 leading organizations through North America selected and implemented the solution. As Mission CRM is built on Microsoft’s fundraising and engagement offering and CDM, it is integrated from the start with Microsoft Cloud for Nonprofit. In fact, the company co-developed the initial Mission CRM solution with Microsoft and licensed the core platform to Microsoft in 2020 for use in Microsoft Cloud for Nonprofit. In turn, Mission CRM is the logical and easy upgrade path for organizations needing more functionality than what the Microsoft Fundraising and Engagement offering includes.
Bill Bois, Sylogist President and CEO said, “We are very pleased to welcome the Mission CRM team and clients to Sylogist. This is a highly strategic agreement for both parties. While Mission CRM will continue to be offered as a stand-alone solution, the innovative fundraising platform complements our ERP Serenic Navigator and other IPs in extraordinary ways. future.
In recent months, we have pursued certain booking opportunities in partnership with the Mission CRM team, which validated both the attractiveness of their platform and a unified solution. We believe their fundraising and donor engagement solution delivers the innovation the market is looking for. At the same time, we have initiated discussions with the founders of Mission CRM for the acquisition of their company. With today’s announcement, we look forward to launching an aggressive go-to-market campaign as a united team.
Sylogist intends to accelerate and help recognize Mission CRM’s exciting growth trajectory. We will provide investment, resources and expertise to enable rapid scale-up on all fronts. This strategic acquisition brings strong intellectual property, renowned clients and an exceptional team, with whom we look forward to realizing the full potential of the company. Concluded Mr. Wood.
Christina Herancourt, President of Mission CRM, said: “I am delighted to join the Sylogist team. When my co-founder, CJ Brooks, and I started this company, we did it with the goal of helping nonprofits achieve their missions with an innovative donor management platform. Joining forces with Sylogist provides the scale, expertise and resources to accelerate our growth – especially with Bill’s first-hand knowledge of the space and his learnings from bringing the Raiser’s product to market. Blackbaud’s Edge. technology, a strong team, the support of Sylogist and the alignment of our strategies and organizations, we are very excited about what the future holds. “
Sylogist is a public sector SaaS company that provides complete ERP, CRM, fundraising, education administration and payment solutions that empower our public sector clients to get their jobs done. We serve more than 1,500 clients around the world, including all levels of government, non-profit and non-government organizations, educational institutions, and funded and compliance-driven public companies. We have a strong balance sheet, industry-leading profitability, a history of successful acquisitions and a portfolio of critical SaaS solutions.
The complete financial statements and the MD&A are available on SEDAR at www.sedar.com.
The Company’s shares are traded on the TSX under the symbol SYZ. You can find information about Sylogist at www.sylogist.com.
About Mission CRM
Mission CRM provides nonprofits with an innovative SaaS fundraising and donor engagement platform based on Microsoft Dynamics 365, Azure and Common Data Model, enabling charities to accelerate the dynamics of their operations and to advance their missions. The platform is currently used by 21 leading customers across North America. The company has differentiated and disruptive intellectual property, a strong relationship with Microsoft, and an exceptional team working to accelerate its growth.
Mission CRM is a division of Sylogist. Company information is available at www.missioncrm.com.
Certain statements contained in this press release may be forward-looking statements within the meaning of applicable securities laws and regulations. These statements typically use words such as expect, believe, estimate, project, anticipate, plan, can, should, could and would, or the negatives of these terms, variations thereof, or similar terminology. Forward-looking information in this press release includes statements regarding the total purchase price equal to approximately 1x revenue if Mission CRM meets its earn-out milestones, with earn-out milestones reflecting an annual growth rate. compound greater than 100% and the expectations of Mission CRM activity reaching $ 8.5 million annual revenue during this period, Sylogist’s confidence that the Mission CRM platform delivers the innovation the market is looking for, Sylogist’s intention to offer a unique and comprehensive SaaS platform and Sylogist’s intention to accelerate and help recognize Mission CRM’s expected growth trajectory through investments, resources and expertise to enable rapid scale-up. By their very nature, forward-looking statements are based on assumptions and involve inherent risks and uncertainties, both general and specific in nature. It is therefore possible that the beliefs, plans and other forward-looking expectations expressed here may not materialize or may prove to be inaccurate. Although Sylogist believes that the expectations reflected in these forward-looking statements are reasonable, it provides no assurance that these expectations will prove to be correct. Forward-looking information involves risks, uncertainties and other factors that could cause actual events, results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking information, including including headwinds from COVID-19 and economic turmoil, the inability to reach earning milestones for any reason, competitive threats to innovation, or Sylogist’s inability to invest and add value expertise and adoption of Sylogist products in the market. Additional information regarding some of these risks, uncertainties and other factors can be found in the Company’s Annual Information Form for the fiscal year ended September 30, 2020, and in the management report for the three months ended June 30, 2021, and other documents available on the Company profile at www.sedar.com. Important assumptions and factors that could cause actual results to differ materially from this forward-looking information include Sylogist’s ability to attract and retain customers and to make its investments. Although Sylogist believes that the important assumptions and factors used in preparing the forward-looking information in this press release are reasonable, you should not place undue reliance on such information, which only applies as of the date of this press release. release, and no assurance can given that such events will occur. Sylogist disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as required by law.
Certain information contained herein may be considered “financial outlook” within the meaning of applicable securities laws. The purpose of this financial outlook is to provide readers with information regarding Sylogist’s reasonable expectations as to the anticipated results of its proposed business activities for the periods indicated. Readers are cautioned that the financial perspective may not be appropriate for other purposes.
SOURCE Sylogist Ltd.