It's A Deal: EYT Buys Signature Systems

"We're looking to achieve substantial growth, both through internal growth and acquisitions over the next couple of years, in key target areas," Culman said. "That includes the ERP side and managed services side."

As part of last week's deal to acquire the Rockville, Md.-based Microsoft Great Plains (now Microsoft Business Solutions) channel partner, EYT,formerly Ernst and Young Technologies,adds about 20 Great Plains professionals to its staff. Additional details, including the value of the deal, were not disclosed.

The deal adds Signature's midmarket vertical expertise in the public housing market to EYT's existing strengths in professional services, health care and nonprofit organizations, Culman said. The strategy to concurrently bolster its partnership with Microsoft in targeting the midmarket is a no-brainer, said Culman.

"Obviously the midmarket is an area in which Microsoft is committed and growing and doing a lot of exciting things," he said. "We want to be a significant partner to Microsoft during the growth of Business Solutions and .Net initiatives."

Microsoft earlier this month closed a $1.45 billion deal to acquire Navision. Through that acquisition, along with its April 2001 buyout of Great Plains Software, the company is building a slate of enterprise applications for midmarket companies.

Later this year, Microsoft's Business Solutions group plans to debut MS-CRM, an offering developed on and for .Net. Chantilly-based EYT's acquisition of Signature Systems strengthens its strategy to provide midmarket services for Microsoft Business Solutions, including implementation and customized software development and application management, the company said.

BARBARA DARROW contributed to this story.