20 JUNE: Scottish technology services company Waracle has agreed a deal to acquire Screenmedia, the Glasgow-based design and software engineering agency, in a move to further develop its digital product development capability.

The acquisition pairs the 145-strong team at Waracle – with its expertise in mobile app, digital product development and AI – with Screenmedia’s award-winning team of 60 to take Waracle to 200+ employees.

Waracle, which has offices in London, Edinburgh, Glasgow and Dundee, is making a strategic move to bolster its digital product development and AI offerings, as the market evolves and the technology services industry focuses on artificial intelligence and its impact on software development.

“We are ready for the new wave of AI-enhanced, intelligent customer experiences,” said Chris Martin. “This is a strategic business decision to continue our growth. We reviewed what we needed to succeed going forward and this acquisition was a key part of the answer.”

Chris Martin will be CEO of the new combined operation while Kenny Shaw will step back from day-to-day operations as Screenmedia become part of Waracle.

Screenmedia has a successful track record in crafting compelling user experiences across web and mobile, working with the likes of Edrington, BBC, NHS, Channel 4, Next and Honeywell. It also has a Bafta on its boardroom shelf for Best Interactive Media.

Waracle, which is backed by growth capital investor BGF, has a client base that includes Lloyds Banking Group, Royal London, ScottishPower, Roche and Imperial College London. The acquisition – for an undisclosed sum – allows Waracle to branch into new sectors, adding transportation, retail and the third sector to their primary industries of health, energy and financial services.

Speaking about the opportunity to diversify, Kenny Shaw said: “Waracle has an impressive track record across regulated industries and our team at Screenmedia have a broad cross-section of sector experience. I think our new, combined organisation will make us a formidable force in Scotland’s technology consultancy space.”

Waracle CEO Chris Martin said he was clear that further organic growth alongside strategic acquisitions would ensure Waracle was able to stay ahead of the demands of its clients.

He said: “This is the first step in our ambitious plans to grow by acquiring design and technology services agencies with complementary skillsets. We want to continue to employ talented technologists to solve our clients’ digital problems and be able to service changing client needs across the UK by covering a wider range of technologies like service design, artificial intelligence and sensors.”

He added: “There are a lot of large, London-based technology consultancies attempting to grow their presence north of the border. We are doing the same in England and we have a strong and growing team there with ambitious plans for further acquisitions.”

“We want to capitalise on our reputation as an unrivalled mobile development partner and continue to take those problem-solving abilities across the UK, to make sure that technology challenges are being addressed by talented, local and engaged teams rather than near-shoring or off-shoring solutions”.

The acquisition provides a foundation for continued growth for Waracle, who over the last 16 years have grown from a university spin-out to revenues of over £20 million.

About Waracle

Waracle was founded in 2008 by Michael Romilly, David Romilly and Mike Wharton as a spin-out from Abertay University. Its headquarters are in Dundee.

Waracle collaborates with financial services, health and energy clients to develop game-changing intelligent digital experiences. It supports cutting-edge technologies such as mobile, cloud, voice and artificial intelligence.

Screenmedia, founded in 2004, is a multiple award-winning agency which creates better digital products and services through human-centred design and technology.