Cadmatic, a developer of digital and intelligent 3D-based design, engineering and information management software solutions for the marine, process, and construction industries, has acquired the entire share capital and product portfolio of the Italian software company Computer Line Associates (CLA). The acquisition supports Cadmatic’s growth goals, strengthens its market position in the process and power industries, and adds new solutions to the marine and building industries. CLA’s SaaS-based material and construction management software and engineering data management solutions complement Cadmatic’s CAD applications and information management solutions and will be offered as part of Cadmatic’s integrated product offering.
The acquisition is a further step in fulfilling Cadmatic’s strong growth strategy, which sees the company more than tripling its size in coming years.
EPC contractors and plant owner-operators use CLA’s software to manage piping materials and piping supports, construction sites, multidisciplinary engineering data, online tenders, project planning and plant welding. CLA was established in 2001 and employs 22 staff at its office in Piacenza, 70 km south of Milan.
“CLA is a perfect strategic fit for us. They have impressive references, especially in the key area of multinational EPC companies and our offerings have no overlapping functionalities. By integrating CLA’s materials and construction management products with Cadmatic’s design, engineering, and information management solutions, we can offer integrated and advanced functionality and a one-stop-shop to benefit our customers from design to construction and beyond. In addition to the products and customer base, we also gain access to the extensive material and construction management knowledge they have developed over the years,” says Cadmatic CEO Jukka Rantala.
CLA COO and deputy CEO Gian Mario Tagliaretti also sees the acquisition as a win-win situation.
“When you combine Cadmatic and CLA, you get something greater than the sum of its parts. Cadmatic has traditionally been strong in plant, marine and building design, CLA have general engineering data management applications. Together we form a comprehensive package. CLA have developed a very strong market position in Italy-based multinational industrial companies, but Cadmatic’s large global network means that the integrated solution can be more successful internationally, we make the perfect team,” says Tagliaretti.
Cadmatic’s growth strategy envisages a strong position in the European and Indian process and power industries, in the global marine business, and in the locally growing building industry. CLA is the fourth significant technology-based acquisition for Cadmatic in recent years. According to Rantala, organic growth and a high level of in-house R&D and competence, as well as mergers and acquisitions will assist the company in creating top value for its existing and new customers.
“Last year, our Process and Industry segment grew by over 30%. We are growing organically, but strategic mergers and acquisitions, such as with CLA, are also a cornerstone of our strategy. We are continuously looking for companies that are good strategic fits for our offering and customers”.
Rantala says that the acquisition is strategy-driven and the result of Cadmatic listening to its customers, being good partners, and providing customers with the software functionality they request.
“When we see a clear customer need, we either develop the functionalities, products and services ourselves or look at acquiring it outside the company,” Rantala adds.