Melbourne IT has sold its digital recording division to Record Holdings for $6.3 million, resulting in a $1.2 million loss to Melbourne IT.
ForTheRecord (FTR) provides digital recording and content management services for court rooms, law enforcement venues and public venues across several countries.
“For many years now, FTR has been a global leader in its field but with the majority of Melbourne IT’s focus on Internet services, the FTR business is not a strategic fit with our company’s long-term plans,” Theo Hnarakis, Melbourne IT CEO and managing director, said in an ASX statement.
“We’ve had a strong working relationship with Record Holdings for several years and FTR is a perfect fit for their business, both technically and culturally.”
Melbourne IT began a strategic review of the company in November last year and sold its digital brand services division in March this year.
A partnership agreement was signed in September 2012 with Record Holdings’ Court Record Solutions (CRS) and FTR.
Record Holdings, which also owns recording and transcription company Auscript, said the acquisition will lead to an expansion of the ForTheRecord software and integration with CRS and include Web streaming from court and a Web-based workflow management for transcript production.
“This new acquisition represents another exciting milestone for Record Holdings and its subsidiary companies at a time of strong market growth for the recording and transcription technology sector,’’ Peter Wyatt, Record Holdings CEO, said.
Follow Stephanie McDonald on Twitter: @stephmcdonald0
Follow Computerworld Australia on Twitter: @ComputerworldAU