Another acquisition for Constellation Software (TSX:CSU) today as the Toronto-based company announced it had acquired Z57, a San Diego-based company that provides online marketing tools for residential real estate agents.
The pickup, which was made through Constellation division Constellation Homebuilder Systems, did not include financial details on the value of the transaction, nor on Z57’s revenue numbers. According to Inc. Magazine, the firm posted a topline of $16.5-million in 2007.
“We continue to invest in new products and services in the residential real estate industry”, said Dexter Salna, President of CHS. “Constellation provides excellent products, support and services to help our customers succeed in real estate now and in the future. Our acquisition of Z57 is an ideal partnership to continue to grow our real estate presence. We welcome the customers and employees of Z57 to the Constellation family.”
Z57, which was founded in 1998, says it provides internet marketing training, optimized websites and lead capture tools for realtors. The San Diego Business Journal has named Z57 one of San Diego’s Top 100 Fastest Growing Privately-Held Companies for five consecutive years.
Toronto-based Constellation was formed by current CEO Mark Leonard, who left the world of venture capital in 1995 to form the company, which has since become one of the most profitable and successful Canadian companies. Constellation, which makes software for the public and private sector, is clear about its strategy. The company grows through acquisition, looking to acquire best of breed companies across different verticals. Constellation is involved in various niches on the public and private side from software for housing authorities, transportation agencies, and software for large home builders. On the strength of this strategy, the company has grown its revenue from just $243 million in fiscal 2007 to more than $773-million in 2011.
In its Q3 Management Discussion and Analysis, reported October 31st, Constellation said it had completed 21 acquisitions since the beginning of 2011.
Shares of Constellation Software closed today down .7% to $119.