Search ASX code:
Generic filters

Search ASX code:
Generic filters

Search ASX code:
Generic filters

Search ASX code:
Generic filters

Bravura (ASX:BVS) to buy UK Delta for $41.5 million

Bravura Solutions Ltd (ASX: BVS) has announced that it’s going buy UK-based Delta Financial Systems for $41.5 million.

What is Delta Financial Systems?

Delta is a UK software company that provides technology to power pension administration in the UK market. Bravura said that its products are highly regarded in supporting the administration of self-invested personal pensions (SIPPs) and small self-administered schemes (SSASs).

Delta’s technology systems currently supports more than 30 UK clients.

The UK company made £6 million of revenue in FY20 and it’s forecast to achieve revenue growth of 20% to 30% with margins similar to Bravura’s wealth management segment.

Why is Bravura buying Delta?

The acquisition price is £23 million, or $41.5 million in Australian dollar terms.

Management said that it will broaden Bravura’s product suite and is a natural extension of its core Sonata offering. It also offers the chance for Bravura to offer other products to Delta’s client base.

Bravura CEO Tony Klim said: “We are delighted that Delta is joining Bravura. Both businesses have complementary products that together, provide a compelling offering to support the mission-critical operations of wealth management firms in the UK.”

Summary

This seems like a smart bolt-on acquisition for Bravura. It’s good to expand internationally and diversify earnings, particularly with the Australian dollar at a strong point. The high margins also sound good.

Bravura is a promising business and it’s priced at a low level compared to the past couple of years. I think it could be an opportunistic buy. Other technology ASX growth shares could also be worth buying such as Pushpay Holdings Ltd (ASX: PPH).

Are you stuck wondering where to invest right now? Have you got cash 'sitting on the sidelines'? Are you looking for dividend income AND growth but don't know where to start? Rask's expert ASX analyst team has just released a full report, detailing where we'd invest $10,000 right now.

Not only are we offering these 11 investment ideas completely FREE, we've also released an in-depth podcast to go with the report!

So, whether you have $2,000 or $50,000, our brand new analyst report could help transform your watchlist. Right now, you can get the full analyst report emailed to you for FREE by CLICKING HERE NOW or simply entering your email below.

Unsubscribe anytime. Read our TermsFinancial Services GuidePrivacy Policy. We’ll never sell your email address. Our company is Australian owned.

Are you stuck wondering where to invest right now? Have you got cash 'sitting on the sidelines'? Are you looking for dividend income AND growth but don't know where to start? Rask's expert ASX analyst team has just released a full report, detailing where we'd invest $10,000 right now.

Not only are we offering these 11 investment ideas completely FREE, we've also released an in-depth podcast to go with the report!

So, whether you have $2,000 or $50,000, our brand new analyst report could help transform your watchlist. Right now, you can get the full analyst report emailed to you for FREE by CLICKING HERE NOW.

At the time of publishing, the author of this article does not have a financial or commercial interest in any of the companies mentioned.

Information warning: The information on this website is published by The Rask Group Pty Ltd (ABN: 36 622 810 995) is limited to factual information or (at most) general financial advice only. That means, the information and advice does not take into account your objectives, financial situation or needs. It is not specific to you, your needs, goals or objectives. Because of that, you should consider if the advice is appropriate to you and your needs, before acting on the information. If you don’t know what your needs are, you should consult a trusted and licensed financial adviser who can provide you with personal financial product advice. In addition, you should obtain and read the product disclosure statement (PDS) before making a decision to acquire a financial product. Please read our Terms and Conditions and Financial Services Guide before using this website. The Rask Group Pty Ltd is a Corporate Authorised Representative (#1280930) of AFSL #383169.

LIVE ASX Chat - Join in!

Play Video

Keep reading:

Rask Analyst’s $10,000 Hypothetical Portfolio 

Rask Australia’s expert analysts have just released 11 stock & ETF positions they’d buy right now as part of a $10,000 hypothetical portfolio. 

Completely free, this report comes with the exact ticker codes, how much the analysts would invest and a detailed over the company and why we like it. Plus a 60-min podcast! 

Simply enter your email address and we’ll send you the report.

Unsubscribe anytime. Read our TermsFinancial Services GuidePrivacy Policy. We’ll never sell your email address. Our company is Australian owned.