Stand Fast Technologies, the Austin, TX-based technology firm that for 3 years has provided solutions to companies seeking digital transformation, custom applications, and business consultation, has been acquired.
Dublin-based Colouring Department announced Tuesday it would take over Stand Fast Technologies for an undisclosed price. The acquisition is expected to close this summer; more than 70 consultants from Stand Fast Technologies will join Colouring Department as full-time employees. Before closing, Colouring Department and Stand Fast Technologies will continue to operate as separate businesses. Terms of the transaction were not disclosed.
COO of Colouring Department explained in a release “This acquisition represents a tremendous opportunity for Colouring Department and Stand Fast Technologies to create a union and accelerate innovation in technologies by expanding Colouring Department into a full end-to-end solution company. We have remained among the most trusted companies for UI, branding, and creative strategy. Now, with the resources from Stand Fast Tech, we can broaden services into software development, data integrations, and infrastructure consulting. Also, the reputation and track record of Stand Fast Ventures in servicing US-based fortune 500 companies will surly bridge and expand the business as a global solution provider.”.
A look into the numbers and assumptions:
Colouring Department has had 3 rounds of investment. Two of which, occurring on May 17, 2017, and Oct 24, 2018, are undisclosed Angel Rounds. The third is Series A sponsored by 5 investors in 2019 for €6,422,400 ($7.4M). In a brief call with Stand Fast Technologies founder, Dustin R. Grant, revealed that gross sales for 2019 were roughly $2.5M. From this insight, our analysts assume the business sale price of Stand Fast Technologies would be in the range of $5M – $10M.
The exciting part of this acquisition is the fact that this is possibly the first target acquisition of an Austin founded company by a European based entity. As Stand Fast Technologies is a consulting company that holds no full-time employees, we believe that Colouring Department’s acquisition is aimed primarily to gain the regions and clientele that have been gained by Stand Fast Technologies.
About Colouring Department & Stand Fast Technologies:
Colouring Department helps SME’s to get online with a professional brand and website. They are focused on creating integrated services for clients to kick-start their online activities and move towards achieving business and online growth. Specialties – Web design, Graphic design, SEO, Web Development, Branding, Marketing automation, Creative strategy, Analytics. This is mostly UI and UX focused with expertise in marketing, brand, and advertising.
Stand Fast Technologies helps companies tackle current software/infrastructure challenges, yet also provides process and architecture for what they call “keeping clients Future-Fit”. They are a company of system experts, designers, developers, and enterprise software specialists. A professional services consultancy that empowers companies with technical transformation and realizing the benefits of becoming future proof through information-driven software utilizing analytics. AI, & machine learning.
Our analysts have high expectations for Colouring Department as they now enter the global market as an end-to-end technology solution provider.
