Diligent, a US company that announced 200 new jobs for Galway late last year, has acquired Limerick-based Accuvio for an undisclosed sum.
Founded in 2009 by Adrian Fleming, Roy Meaney and Derek Spillane as ManageCO2, Accuvio has developed software which enables large organisations to collate information about their impact on the environment.
Accuvio generates sustainability and carbon reports from more than 2,000 types of emission sources.
Just over half of the company's clients are based in the US, with a further 35 per cent in Britain. Customers include CBRE, Babcock International and Irish bank AIB.
No financial details related to the transaction have been publicly disclosed although Diligent chief executive Brian Stafford said "it paid a very, very healthy revenue multiple" for Accuvio.
Abridged accounts for Manage CO2 Software Ltd don’t reveal the company’s revenue figure. However, the 2020 accounts do state that it made a profit of €152,591, up from €74,842, and had net current liabilities of €54,639.
The directors said they “anticipate sustained growth in turnover and profitability in 2021 and thereafter”.
Diligent, with headquarters in New York, is the company behind a software platform that helps organisations manage governance-related issues more effectively. It provides a cloud-based subscription service that is used by more than 25,000 organisations in over 130 countries.
Environmental, Social and Governance (ESG) analysis and reporting has become big business in recent years with Research and Markets forecasting it will triple in value to $1.5 billion (€1.27 billion) by 2028.
“Accuvio has a lot of depth in how it calculates companies’ impact on climate... they understand where the ESG market is heading and have a passion to help improve the way that organisations report on climate,” said Mr Stafford.
Mr Fleming, Accuvio’s chief executive, said the company was founded on the notion that simple, easy-to-use software can help to secure a healthy environment for generations to come.
“Adding our purpose-built software to Diligent’s broader ESG solutions and governance, risk management and compliance platform will provide an unmatched value proposition to clients in the marketplace,” he said.
Mr Stafford said the fact Accuvio was situated close to its new Galway-based European hub was a coincidence. "We're pretty close to having 200 hires and I think there is an opportunity to scale our presence further as we continue to find really talented people in Galway and now in Limerick, " he said.