The Bigtincan Holdings Ltd (ASX: BTH) share price is pushing higher on Thursday morning.
At the time of writing, the sales enablement software provider’s shares are up 7% to $1.09.
Why is the Bigtincan share price pushing higher?
Investors have been buying Bigtincan’s shares this morning after it announced a small acquisition and released an update on its guidance.
In respect to the former, the company has signed a definitive agreement to acquire 100% of Vidinoti SA for ~$770,000. The consideration will be 50% cash and 50% equity.
Vidinoti is a leader in augmented and virtual reality systems based in Fribourg, Switzerland. It has developed a comprehensive suite of tools to create, deploy, and manage augmented reality content, including V-Director, V-Player and the Vidinoti SDK.
It holds patents in core areas of technology that will further advance Bigtincan’s leadership in this important technology sphere. This is expected to support the company’s mission of creating the “Buying Experience of the Future” for the world’s leading Enterprise Customers.
Bigtincan’s CEO and Co-Founder, David Keane, said: “We have been collaborating with the Vidinoti team for some time and I am delighted that we could now bring our companies together to accelerate development in this exciting space for enterprise use cases.”
Also giving the Bigtincan share price a boost today was management revealing that it is on course to surpass its guidance in FY 2021.
As things stand, the company has achieved $53 million in Annualised Recurring Revenue (ARR) with two weeks of the financial year remaining. This represents year on year growth of 48% and compares to its previous guidance of ARR at the top end of $49 million to $53 million.
Mr Keane commented: “Achieving $53m in ARR before the end of the FY21 period is another milestone in the development of Bigtincan This result demonstrates the ongoing progress of the Bigtincan business and arises from a combination of new orders in the USA, Europe and Asia/Pacific, together with expansion from existing customers, and shows that as the world continues to move forward and economies strengthen, Bigtincan technology is critical to the success of customer facing workers in an increasingly digital and remote economy.”
The Bigtincan share price is up 27% over the last 12 months.