Tracsis gets nod for Sky High bid

Tracsis has received acceptances from Sky High shareholders in respect of 16,509,705 shares, representing 77 per cent of Sky High’s existing share capital. The offer will remain open for acceptances until May 1.

Tracsis said the acquisition will help it to secure more work in Australia.

The cash offer values Sky High at £3.3m.

An offer document was sent to all Sky High shareholders setting out the terms of the deal.

Mark Mattison, Grant Wilson and Martin Prowse, the directors of Tadcaster-based Sky High, acquired a total of 308,563 shares in Tracsis.

Tracsis is a Leeds University spin-out, which produces software that can prevent train derailments and delays.

Its chief executive John McArthur said: “The combination of Tracsis and Sky High is an exciting opportunity as it adds considerable breadth, depth and scale to our existing offering.

“The acquisition not only widens the number of fields the group services within the transportation industry, but also importantly adds a new territory to its current geographic footprint.”

He added that Sky High has significant stature in the market, a “formidable reputation”, and “robust systems to meet the data and analysis needs of its enviable client list”.

Tracsis believes there will be significant cross-selling opportunities of both services and technology and the deal will expand its presence overseas as Sky High has a number of operations in Australia.

“We believe that this acquisition, while being immediately earnings enhancing, will also drive growth for the combined group and, in turn, provide further value to our shareholders,” said Mr McArthur.

Mr Mattison, chief executive of Sky High, said: “The acquisition will ensure that Sky High is well placed to both grow our client base and continue to provide our current clients with a high quality and cost-efficient service.”