Proactis, a procurement software specialist based in Wetherby, has agreed a deal to acquire Dutch procurement software business Esize for up to €15.2m (£13.6m).

The acquisition will give Proactis additional capabilities across two new markets, travel and expense management and contract labour. The West Yorkshire company currently has approximately 60 customers across the private and public sectors and employs 50 people.

Esize reported revenues of €5.1m at the end of 2017, a 19 per cent year-on-year growth, with a pre-tax profit of £600,000, which represents a 48 per cent year-on-year growth.

Hamp Wall, chief executive of Proactis, comments: "Acquisitions are a key part of our group's growth strategy and Esize perfectly satisfies our acquisition criteria. We are excited by this growing, profitable and cash generative business that brings with it a scaled operation in a key new North West European geography, a SaaS/cloud-based business model delivering security over forward revenues and an additive technology stack.

"In addition, Esize has a strong management team which we look forward to welcoming into the group. As well as the immediate benefits, we believe there will be significant cross sell opportunities across both customer bases on the buy side as well as, in the longer term, the extension into the supply side networking opportunity."

Proactis added that it expects to soon report revenue of about £52m and adjusted EBITDA of approximately £17m for the year ended 31 July 2018.