K3 Business Technology: CEO Retires Following £36m Sale
Deal News | Apr 03, 2025 | Business Cloud
The Manchester-based K3 Business Technology Group, a company specializing in software solutions for the fashion and retail industries, has announced the retirement of its CEO Eric Dodd, who will step down on September 30, 2025. Eric Dodd, who transitioned from CFO to CEO of K3, will not have a successor named as the board opts for a strategic shift, directing business unit heads to report directly to the board. This move follows the recent sale of K3's subsidiary, NexSys Solutions, to global ERP software provider SYSPRO for £36 million in cash. As part of this strategic realignment, the board also plans to return around £29 million to shareholders and is considering the de-listing of the company from the AIM. In the fiscal year ending November 2024, K3 reported a drop in revenue but a narrowing of adjusted operating losses, reflecting its focus on shareholder value and cost restructuring. The company's operational divisions include products and third-party solutions, serving over 3,000 customers worldwide.
Sectors
- Technology and Software
- Retail
- Financial Services
Geography
- United Kingdom – K3 Business Technology Group is a UK-based company with global operations headquartered in Manchester.
- Global – The company serves over 3,000 customers across 20 countries, showing its global presence.
Industry
- Technology and Software – K3 Business Technology Group provides software solutions tailored for the fashion and retail industry.
- Retail – K3 serves clients in the fashion and retail industry, focusing on customized software services.
- Financial Services – The transaction involving SYSPRO and the potential return of capital to shareholders is of interest in the financial services sector.
Financials
- £36 million – Sale price of the NexSys Solutions to SYSPRO.
- £29 million – Funds intended to be returned to shareholders.
- £23.2 million – Revenue from continuing operations for the year ending November 2024.
- £1.1 million – Adjusted operating losses for the year ending November 2024, narrowed from £1.4m.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| K3 Business Technology Group | Company undergoing strategic shifts, and target of the NexSys sale | Company | A Manchester-based firm providing made-to-measure software for fashion and retail industries. |
| Eric Dodd | Outgoing CEO | People | Joined as CFO in 2023 and later became CEO, will retire in 2025. |
| SYSPRO | Buyer of NexSys Solutions | Company | Global ERP software provider acquiring NexSys Solutions from K3. |
| London Stock Exchange | Exchange platform for K3's stock | Company | K3 is listed on this exchange and is considering de-listing. |
| NexSys Solutions | Sold subsidiary | Company | A subsidiary of K3 sold to SYSPRO for strategic refocus. |