Capita plc has acquired Smiths Consulting Ltd for a cash consideration of £10m on a cash free, debt free basis, with a further contingent consideration of up to £2m based on profit performance over the next two years.

Smiths Consulting is a SAP consultancy that specialises in delivering business change enabled by technology .The company has a strong customer presence in markets that include government, aerospace, telecommunications and finance.

The acquisition will enhance Capita's existing in-house SAP consultancy capabilities by creating a core hub of expertise and resource.

Smiths Consulting's employees are spread across the country and its business operations are located in Newcastle, with additional offices in London and Chelmsford. The business has 52 direct employees and is supported by 150 associates.