Constellation Software and its two spin-offs Topicus and Lumine need no introduction. Because the same methods produce the same results, all three have enjoyed remarkable operational and stock market success.

Mark Leonard's modus operandi at Constellation - largely copied from Warren Buffett's at Berkshire Hathaway - has been emulated. Comparables include Vitec in Sweden and, more recently, Chapters Group in Germany.

Canadian compatriot Constellation Computer Modelling Group intends to join this cohort. The group has recently changed management and strategy, and adapted its remuneration policy to the excellent model developed by Leonard.

It will also have not escaped the attention of those in the know that Mark Miller - Constellation's COO - is Chairman of CMG's Board of Directors; nor that EdgePoint, Constellation's historic shareholder, controls 25% of its capital.

CMG's core business - geological analysis software for oil and gas producers - is stable, flat but highly profitable. This core business - which generates between $25 and $30 million in free cash flow per year - will serve as the basis for financing the company's external growth strategy.

Is CMG a "baby Constellation"? It's certainly too early to say, but things seem to be moving in that direction, which the valuation, which has just rebounded from its long-term low of x15 EBITDA, seems to confirm.

One major hurdle will be the buying competition on the acquisition targets identified by management, since the Canadian, as we said, is far from alone in trying to emulate the prolific methods of Mark Leonard's group.