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Barely a month after German social housing software provider Aareon is sold off, another significant supplier to the sector and local councils, changing hands. At least a couple of customers contacted me and said they were dismayed at seemingly not even being informed of the planned sale.
This week Capita announced that they will be shedding ‘Capita One’, the home of OpenContractor, OneHousing, Education management solutions and ex-IBS OpenHousing. (not Irritable Bowel Syndrome, for latecomers to the sector, however it could at times create nearly similar effects!). For £207m, MRI the US Real Estate Asset Management specialist, via its Orchard entity nets several hundred new account numbers to add into its Sales Ledger and chart of accounts. The process is set to complete in August if no CMA (Competition and Markets Authority) challenges are encountered. I would say one was pretty likely as this effectively consolidates two of the remaining medium-large social housing solutions, with a single dominating supplier.
MRI is used to UK housing solutions acquisition, having consumed Castleton, Orchard & Housing Partners, over the last few years. However, I would wonder if the non-housing parts of this deal, such as Education management, will be quietly disposed of, one the dust settles
The media release blurb tells us, “MRI Software is a leading provider of real estate software solutions that transform the way communities live, work and play. The Buyer intends to support Capita One’s growth plans and further develop its product portfolio and customer base.”
Capita have recently been coming back to the market for some new housing system procurements with a fully we based housing product. Potentially, MRI moving old legacy Orchard customers to OneHousing, could well be a much cheaper option than completing the latest re-tread for the former that’s underway. MRI still seem to have a gap for a modern Cloud/browser solution for small-medium RSLs/RPs. Newer challengers look to continue hoovering these ex-Kypera sites for at the the next few years then.
It will be interesting as ever in these cases how Capita helpdesk’s and account management will be consumed. Will slightly sub-optimal current service be impacted or can it be possibly improved ?
If you are a contact with one or more of these products currently, feel free to get in touch to chat or maybe explore future options.
Read the full statement here.
Related Post: How can the right Critical Friend guide your RSL to a new system?
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Kasabian - Cutt Off.
(c) Tony Smith, Acutance Consulting www.acutanceconsulting.co.uk 07854-655009
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