Ansys buys Quadsoft

Johannesburg, 31 Jan 2008

IT engineering company Ansys has made a third major acquisition since listing in June last year. It has bought the entire issued share capital of Quadsoft - a company that develops locomotive in-cab communications - for R16.75 million.

Half the purchase price will be settled in cash and the remainder through the issue of Ansys shares at 300c each, says CEO Alan Holloway.

"The acquisition is a natural progression for the company from providing its customers with rail track monitoring and signalling systems, to offering them in-cab communications solutions for their locomotives."

He adds the acquisition will expand the company's skills and product base, and allow it to supply locomotive communications systems to Transnet Freight Rail, Metrorail as well as rail users in mining and industry.

Quadsoft develops its own software which is deployed in locomotive cabs using off-the-shelf hardware. The technology enables centralised train controllers to communicate with, manage and track various train sets using GPS and GSM technologies.

More than 300 of the units have already been delivered to Transnet and a further 110 are on order.

Quadsoft also has clients in commerce and industry. It developed a virtual voucher dispensing system for cellphone company African Prepaid Services, load monitoring systems for the Tshwane municipality and test bench software for Saab Logtronics.

Ansys recently acquired railway signalling contracting company Emerging Signals and Optocon Systems, a manufacturer of precision electro optical systems - including infrared sighting systems for the defence industry - for around R15 million apiece.

"Those acquisitions are busy being bedded down by Ansys and the cautionary notice that the company was trading under has now been removed," Holloway says.