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Xero acquires Spotlight Workpapers

4:34pm, 20 Jul 2012 | ASSET

MARKET RELEASE
Xero acquires Spotlight Workpapers

20 July 2012

Xero online accounting software (XRO) has acquired Wellington-based software developer Spotlight Workpapers Limited, substantially strengthening its practice solution for Accountants and Bookkeepers.

The company’s software has been developed over the past 12 months to work specifically with Xero. It enables year-end compliance to be streamlined through avoiding paper processes and use of spreadsheets.

“The acquisition of Spotlight Workpapers continues our strategy of providing a compelling platform for Accountants and bookkeepers,” says Xero CEO Rod Drury. “We’ve been very impressed with the feedback the Workpapers team have received. We’ve had clear signals from our Accounting partners that we should add Workpapers to our stable.”

Today’s acquisition follows the purchase earlier this year of Practice Management provider Max Solutions. These additions enable Xero to provide a suite of online solutions that accountants can use to run their practice in the cloud, without the need for in-house server equipment. Globally Xero has over 4300 accounting partners.

Spotlight Workpapers is in beta use by over 100 accounting and bookkeeping partners. Xero will continue to build out the functionality and scalability of the software and release it under the Xero brand in March 2013 for the Australian and New Zealand markets.

Xero purchased Spotlight Workpapers from Richard and Julie Francis, who will continue to be involved in product development and operation of the software. The acquisition price of $800,000 is made up of a combination of cash and shares, with a component of the price payable in March 2013.

“We're thrilled that Spotlight Workpapers has been acquired by Xero, allowing us to collaborate on delivering a world-class, online compliance solution to the market. Our team looks forward to building on the great response that Spotlight Workpapers has already received, with the knowledge that the experience and resources available at Xero will make Spotlight Workpapers even more compelling as a core modern practice application,” says Spotlight Workpapers Executive Director Richard Francis.

“Xero is providing freedom for Accountants; freedom from expensive and often convoluted IT solutions,” says Drury. “These acquisitions further strengthen Xero’s hand in the accounting software market, particularly against incumbent suppliers.”

ENDS

For more information contact:


Rod Drury
Xero CEO
rod.drury@xero.com
+64 27 6000 007

Ross Jenkins
Xero CFO
ross.jenkins@xero.com
+64 21 963 909