by Brianna Crandall — September 5, 2018 — Software provider Nemetschek just announced its acquisition of 100% of the shares of MCS Solutions group, headquartered in Antwerp, Belgium, which will make it an end-to end solution provider for the entire life cycle of buildings.
MCS Solutions offers an integrated and modular Integrated Workplace Management System (IWMS) that covers core functional areas in real estate, workplace and facilities management for large private and public organizations. Additionally, MCS Solutions developed a sophisticated smart building platform, COBUNDU, that uses Internet of Things (IoT) sensors and big data analytics to optimize productivity and efficiency in both occupant experience and facility service delivery.
Leading position in a growing market for building operations
Nemetschek cited research by analyst firm MarketsandMarkets indicating that over the next five years an addressable market of more than EUR 10 billion in annual customer spending with a compound annual growth rate (CAGR) of more than 10%. Building owners are investing in technology to drive significant cost benefits, simplified operations and maintenance, reduced energy use, and growing integration of IoT and smart buildings. By investing in smart building technology, owners can increase building efficiency, better satisfy the needs of occupants, and differentiate their space in the competitive real estate market. The rapid consolidation of solution providers recently in the market signals the major shift in technology use that is accelerating.
In this changing landscape, MCS Solutions has become a well-known and well-respected player, with seven regional offices in Europe, the United States, the Middle East and Asia-Pacific. MCS Solutions helps organizations improve real estate performance in terms of total cost, risk reduction, employee satisfaction, brand perception and sustainability. Employing over 200 people, MCS Solutions already serves over 1.5 million active users across the globe in more than 60 countries across many vertical industries, including private and public building owners, occupants, retail, commercial real estate, financial services, manufacturing, transportation and facility service providers.
MCS’s solutions are offered primarily as a subscription business model globally through direct sales and partnerships. The recurring revenues will continue to increase over the next years and will replace the traditional license model.
Strategic addition
By acquiring MCS Solutions, the Nemetschek Group will enter this dynamically growing building operations management market and considerably extend its target markets beyond design and construction, where Nemetschek already has a leading market position. With the acquisition, Nemetschek will provide key workflow offerings across the entire life cycle of buildings.
Patrik Heider, spokesman and CFOO of the Nemetschek Group, remarked:
MCS Solutions is a perfect match for our solution portfolio that opens up a new market segment in which we will build to a leading market position as we have in BIM (building information management) for design and construction. With the integration of MCS Solutions, we drive digitalization through the entire building process and are going to realize a seamless exchange of information before and, continuously, during the usage of a building. With the strong and global market position of MCS Solutions, we are taking on the role of being an innovator for the entire life cycle of buildings.
Koen Matthijs, CEO of MCS Solutions, commented:
For MCS, the acquisition means accelerated growth into international markets by benefiting from Nemetschek’s global customer and partner access, without changing its motivating culture and identity. For our customers, it allows them to continue using our leading IWMS and smart building software, while benefiting from increased integration with Nemetschek’s software solutions throughout the building life cycle.
Steven Lambert, COO of MCS Solutions, added:
We look forward to working closely with the other Nemetschek Group brands to make digital project information more transparent and easier to access by all parties in design, build, and manage stages.
Both managers will stay in their roles after the acquisition.
For more information, visit the Nemetschek or MCS Solutions website.
