Invigor sells IT services arm for $500,000

Sydney-based Invigor has sold off its services business to Asmex Digital for up to $500,000.

Invigor acquired the services customer base as part of a 40 percent acquisition of Global Group Australia in 2012. Two years later, Invigor acquired the remaining Global Group business, bringing the investment up to $4.5 million.

An Invigor spokesperson said the fundamental part of the Global Group acquisition was in buying the intellectual property to form its Insights Retail, Visitor and Shopping Ninja data analytics platforms.

Chief executive Gary Cohen said the services arm had become non-core to the business, and that Invigor would now focus on its two analytics platforms.

“The sale of the services business will free up significant resources within Invigor and enable us to focus fully on our key Insights Retail and Visitor products,” said Cohen.

“The customers who will receive services from Asmex Digital will benefit from a better strategic fit with Asmex Digital’s areas of focus for the services being transferred.”

Asmex Digital is a Sydney-based services company providing ecommerce solutions to small and medium businesses. The company is led by executive director Olivier Adolphe, a former executive of eBay, PayPal and the ASX.

“We look forward to continue leading as Australia’s best SMB technology provider,” said Adolphe.

“I’m happy that more clients can continue to grow their business with Asmex’s specialised services. This transaction gives us the ability to work alongside one of Australia’s leading groups in big data solutions allowing further synergies in the future.”

Invigor has undergone a number of transformative efforts in recent years. In 2013, Invigor's former trading company Hyro suffered a $15.9 million loss as a result of a failed acquisition by US-based KIT Digital.

Hyro was subsequently rebuilt as Invigor, thanks to investment from brothers Greg and Gary Cohen and their firm Marcel Equity.

The company shifted its focus from technology investment to big data, business intelligence and consulting after acquiring Global Group, and later acquired mobile analytics company Amethon for $1.8 million in 2014.

Clarification: the story has been updated to reflect that the customer base was a small part of Invigor's acquisition of Global Group.