Advanced completes acquisition of U.S. based Modern Systems, creates global modernization powerhouse

Dallas, TX — July 2, 2019 Advanced, the UK’s third largest software and services company, today announced the completion of its acquisition of Modern Systems, the US-based global leader in application modernization.  The acquisition will deliver a strong footprint for Advanced in the US, as well as strengthen both companies existing presence in the U.K., EMEA and North America. Work to integrate Modern Systems into Advanced will begin immediately, leveraging the combined success of both organizations.

The combination of Advanced and Modern Systems creates a unique modernization software and services powerhouse. Modern Systems’ customers and partners will benefit from the additional resources, technologies and processes as a result of the two companies coming together. The combination will deliver unprecedented levels of deep technical knowledge, combined with time-tested technologies that cover the industry’s widest array of legacy technology code bases and platforms.

This completed acquisition follows Advanced’s acquisition in 2018 of Information Balance, the Canadian provider of application development and migration across mainstream technology platforms.  Both acquisitions build further on Advanced’s already established application modernization practice focusing on VME, VMS and COBOL migration projects working with organizations including the Department for Work and Pensions (DWP), a UK Government organization, international infrastructure group Balfour Beatty, and the Dutch government task organization Pro Rail. The acquisition significantly increases the size of Advanced’s practice to £30 million ($40 million) in annual revenue of its total £240m ($300 million) annual turnover.

Modern Systems brings more than 30 years of experience to Advanced, having completed 200-plus legacy application modernization projects, with 1.5 billion lines of code processed with its legacy application source code, data and platform transformation solutions.  In November 2017 it launched its new Cloud Practice, and in September 2018 the company introduced its  Modernization Platform as a Service (ModPaaS™) which today is available on all of the major cloud platform marketplaces including AWS Marketplace, Azure, Oracle, and Google Cloud Platform (GCP) Marketplaces.

“We are excited to become part of Advanced, giving us a unique combination of technologies, solutions and geographic focus, as well as strengthening our ability to meet the modernization needs of customers,” said Brandon Edenfield, president and CEO of Modern Systems.  “We are proud to have earned the trust of so many organizations around the globe, and continue to look forward to providing the best modernization capabilities to suit individual customer needs.”

Advanced and Modern Systems became partners in 2016, collaborating together on a number of projects, including a strategic project for DWP. The project includes twenty million lines of legacy code that processes more than 700 million employee payments to UK citizens, and was awarded to Advanced and Modern Systems following a competitive process with two other modernization vendors.

“We are pleased to welcome Modern Systems to the Advanced family.  Today’s business leaders are under constant pressure to reduce costs and streamline operations while innovating to gain a competitive edge — all while digitally transforming,” said Gordon Wilson, CEO of Advanced. “Before businesses can take advantage of newer IT methods as part of a digital transformation, they must look to migrate their decades-old legacy systems. By adding Modern Systems to the Advanced portfolio, we are dramatically speeding up our customers’ ability to remove key barriers for achieving digital transformation.”

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