Stuttgart, Germany, 29 April 2019. RIB Software SE, the world’s leading provider of iTWO 4.0 Cloud Enterprise Platform Technology for the building, construction and real estate industries, today announced the signing of the fifth MTWO investment agreement with UK based Cadline Limited. The deal was executed through A2K, a 60% subsidiary of RIB with extensive building and construction knowledge, now actively selling MTWO in Australia/New Zealand.
Cadline is a well-established and respected reseller of software products to the building and construction market in the UK and Netherlands that has over 30 years of experience in the field and over 30,000 users. The company is ISO 9001:2015 certified and headquartered in Staines-Upon-Thames, near London with 6 other offices throughout the UK and a 100% subsidiary in Utrecht, Netherlands and a turnover in excess of USD 37 million. Cadline has extensive industry knowledge across the MTWO market space and as such will be able to immediately promote MTWO into the target market of building, construction and real estate industries. Cadline has a very strong sales focus with 35 of their 100 employees dedicated to sales. Additional sales staff will be employed specifically as part of a separated, specialised MTWO team to be created.
As part of RIB’s rapid MTWO deployment strategy, and utilising A2K’s industry knowledge, Cadline will be able to focus solely on selling the MTWO solution as RIB’s previous 100% acquisition of SaaSplaza, a company dedicated to delivery of solutions on the MTWO platform, will provide the platform for the MTWO delivery without needing to train Cadline staff in SaaS delivery. This strategy will be used for multiple additional acquisitions and investments to ensure the MTWO sales targets are met in the minimum time necessary.
The investment in Cadline is the first deal under RIB’s 60% subsidiary A2K and expands RIB Group’s market knowledge in Europe significantly. As part of the push for MTWO market spread it provides RIB with another highly skilled reseller in the construction space and follows RIB’s previous investments in the area to build up the world’s first vertical cloud for the construction and real estate industries.
RIB has acquired 20% of the shares via its 60% subsidiary A2K at a total cost of GBP 2.4 million. As part of the agreement, Cadline will invest more than USD 1.23 million of its own funds to promote the spread of the MTWO technology over the next three years. Together, RIB, A2K and Cadline are targeting to win 10,000 MTWO users by 2020 in a short-term manner and 100,000 MTWO users in the mid-term.
Richard Robertson, Business Development Director of Cadline: “We are excited to work together with A2K and the RIB team to continue to rapidly grow current solution sales and additionally to deliver one of the most advanced and future oriented cloud/AI based enterprise ERP solution to the Real Estate and Construction Industries in an age that requires construction leaders to develop and expand a mindset for digitization. We believe that with MTWO technology we can provide our customers with a solution, which is easy to implement and use to push the digitization and transformation of a whole industry.”
Paul Laycock, Global CEO of A2K and Chief Global Advisor, RIB Partner Investment Program: “A2K’s investment in Cadline supported by RIB will enable us to expand our market position into Europe. Through the bundling of competencies with the RIB SaaSplaza team, rapid market penetration is made possible. MTWO is targeting to win 2 Million USERS worldwide in the midterm and is today one of the most advanced cloud-based enterprise solutions in the AEC and EPC Industry. We will continue to focus on executing our announced investment strategy and integrate MSP partners in other areas of the world to offer the MTWO platform to more construction and real estate companies to offer access to our iTWO Technology to at least 80% of the global market.”
This investment follows RIB’s previous investments in ICS located in the U.S., A2K headquartered in Australia, SaaSplaza located in the Netherlands & Levtech headquartered in India and UAE and continues the MTWO initiative with Microsoft following the capital increase in the first half of 2018 to build up the world’s first vertical cloud for the construction and real estate industries, which account for USD 10 trillion in global expenditure, or 14% of global GDP in 2017, and expected to grow to USD 14 trillion by 2025 according to a McKinsey Global Institute report.
About A2K Technologies
A2K Technologies fosters innovation through delivering software and hardware solutions, consulting, training, development and managed services. Their highly knowledgeable and industry-experienced staff from the Architecture, Engineering, Construction, Infrastructure, and Manufacturing sectors enhances their customers’ organisational capabilities, to deliver on project outcomes and differentiate from the competition. With a great footprint throughout the ANZ region, A2K has strategic partnerships with many major software and hardware vendors, including Autodesk, Microsoft, Adobe, HP, Bluebeam, Ultimaker, Symantec, and Citrix. A2K have become a trusted technology advisor to their customers through the breadth and depth of their service offering and technical expertise, their commercial flexibility and high levels of customer service and understanding.
Cadline has a passion for its business but also a passion for its customers‘ businesses. Cadline’s expertise has made it the leader in the fields of Architecture, Engineering, Construction and Manufacturing and maintains this position by the continuous development of knowledge and skills within its teams.
Cadline provides guidance on the latest design, analysis, data management, collaboration and business process platforms to solve everyday challenges and improve business performance. Its team is committed to delivering technical excellence during implementation, technical support, training, consulting and change management services.
About RIB Group
RIB Software SE is an innovator in the building and construction industry. The company develops and offers cutting-edge digital technologies for construction enterprises and projects across various industries worldwide. iTWO 4.0, RIB's flagship cloud-based platform, provides the world's first enterprise cloud technology based on 5D BIM with AI integration for construction companies, industrial companies, developers and project owners, etc. With over 50 years of experience in the construction industry, RIB Software SE focuses on IT and engineering and becomes the pioneer in construction innovation, exploring and bringing in new thinking, new working methods and new technologies to enhance construction productivity. RIB is headquartered in Stuttgart, Germany and Hong Kong, China, and listed on the prime standard Frankfurt Stock Exchange since 2011. With over 2,700 talents in more than 25 countries worldwide, RIB is targeting to transform the construction industry into the most advanced and digitalized industry in the 21st century.