Avisen settles Xploite-Cantono row

IBM partner claims its financial position is more certain after reaching settlement with Cantono

Shake on it: Avisen says it is delighted to have settled long-running dispute

IBM partner Avisen has reached a £300,000 settlement with Cantono, the firm that was at loggerheads with its recently acquired Xploite business.

A row erupted between Cantono and Xploite in early 2009 over deferred payments relating to four managed services units Cantono sold to Xploite.

Xploite received details of potential claims amounting to about £4.5m. Avisen acquired Xploite in April and following negotiations has agreed to pay Cantono £300,000 in the near term, plus a further potential payment of £300,000.

Marcus Hanke, chief executive of AIM-listed Avisen, lauded the “reasonable way” in which Cantono had negotiated the “potentially material” litigation.

“I am delighted that this has now been settled,” he said. “This provides more certainty to the company in respect of its financial position, and allows us to continue our focus on positioning Avisen as a niche provider of software supported solutions."