VIQ accelerates market expansion in the United Kingdom as natural extension of its prominent capture technology regional footprint
VIQ Solutions Inc. (“VIQ” or the “Company”) (TSX and Nasdaq: VQS), a global provider of secure, AI-driven, digital voice and video capture technology and transcription services, today announces it acquired The Transcription Agency (“TTA”), a leading supplier of secure outsourced transcription services to clients in private and public sectors throughout the United Kingdom. The strategic acquisition (the “Acquisition”) positions VIQ to provide localized services to government agencies as a natural extension of its current CapturePro™ footprint.
“We continue to pursue strategic, accretive acquisitions across the globe, for which we have a strong pipeline,” said Ms. Sumner. “We have developed a disciplined M&A methodology that has led to repeatable outcomes to grow our client and talent base, to drive top line growth and enable gross margin productivity gains on larger volumes of data enabling profitable scale. The successful integration of our acquired companies brings us closer to being the leading global provider of evidentiary documentation for enterprise and government agencies around the globe.”
The purchase price paid for the Acquisition was approximately US$1.7 million, with approximately US$0.85 million paid in cash on closing and approximately US$0.85 million to be paid via a deferred payment structure over the next six months. VIQ funded the Acquisition by utilizing cash on hand.
TTA, a registered supplier of outsourced transcription awarded by the government NHS Shared Business Services Group, has more than two decades of experience providing reliable, accurate and timely transcripts. Serving complementary markets, VIQ and TTA have a solid foundation to build on, which will enable the Company to expand its product and service offerings, including the introduction of FirstDraft, in the region. Leveraging VIQ's leading technologies and AI-powered services, TTA’s team of dedicated transcribers, with deep localized experience, will enable VIQ to continue to deliver outstanding quality and service while creating efficiency gains to meet client expectations and expand its business. The Acquisition also provides VIQ with access to a prestigious law firm customer base to grow sales organically.
"Acquiring The Transcription Agency, the market and trusted leader in transcription services in the UK, is a substantial milestone in VIQ's growth strategy. This union broadens our portfolio of services, opening a significant and growing UK market and creating a strong foothold for further European expansion," said Matt Fowler, Senior VP, Strategic Partnerships and M&A, VIQ . "I am thrilled to welcome Penny Ffoulkes and her TTA team to VIQ. TTA is a remarkable company with talented employees, an engaged portfolio of clients, and a commitment to providing best-in-class service."
“It is thrilling to watch the business we created 24 years ago evolve to the next phase, incorporating VIQ technology to create an end-to-end workflow that will further transform this market. We are excited for the opportunities it provides to our team and to the overall industry,” said Penny Ffoulkes, Managing Director, TTA. “We are delighted to partner with a global leader that brings to market vision, advanced technology, and outstanding quality in both service delivery."
VIQ will deliver its end-to-end solution portfolio empowering UK courts to reengineer and optimize legacy processes and improve services for users safely and securely. The addition of NetScribe™, the AI-enabled transcription workflow platform, creates efficiencies and workflow optimization for creating transcripts in private and government organizations. FirstDraft, powered by AI, quickly converts audio files to highly specialized documentation providing near real-time access to interviews, testimony, recorded calls, and dictation cost-effectively. The solutions preserve and secure the spoken word and video images delivering meaningful data pertinent to court cases.
“As we move past the COVID lockdowns in the UK, we are seeing an accelerated need for solutions and services in the region where customers see the value in the end-to-end solution we are positioned to deliver. We see this as a great opportunity to build on the success of our large CapturePro client base where a high-quality audio recording is the foundation to deliver optimal results from our FirstDraft technology in complex, multi-speaker environments,” said Susan Sumner, President and Chief Operating Officer at VIQ.