SmartCraft ASA of Norway is expanding into the UK market through the acquisition of Houghton Le Spring construction Software as a Service (SaaS) firm Clixifix Ltd.

The transaction is based on an enterprise value of £10.2 million.

SmartCraft said the acquisition adds an annual recurring revenue (ARR) of £2.76 million.

“This is a landmark event for SmartCraft, and through this strategically important, and financially accretive transaction, we are taking our first step outside our Nordic home markets, expanding our market potential massively,” said SmartCraft CEO Gustav Line.

“Clixifix represents a great foothold and starting point for further growth in the UK.

“It also matches well with SmartCraft as it has a high share of SaaS recurring revenue, a strong growth profile, an attractive, large customer base and a modern technical platform …

“We are very excited to welcome Clixifix to the SmartCraft family. With 85 percent recurring revenue, a modern technology platform, low churn, rapid growth and a highly scalable model, Clixifix is a high-quality platform that stands out in the UK landscape.

“The solution provides great value for its 20.000 users across 250 corporate customers, with rapid return of investment for the system’s customers.”

Clixifix offers an end-to-end SaaS based scalable solution managing defects, complaints and repairs for construction companies and property owners.

Since its inception in 2012, the platform has resolved more than 1.8 million defects.

In 2023, Clixifix had revenues of £2.45 million, representing growth of 50% on 2022. Currently, the company has 34 employees.

“We are really looking forward to becoming part of SmartCraft,” said Clixifix CEO James Farrell.

“With its strong track record of building great software companies and a broad portfolio of best-of-breed SaaS solutions for the construction industry, we truly think it’s a great home for Clixifix.”