Ad-hoc | 1 April 2014 00:27
Software AG / Key word(s): Mergers & Acquisitions/Disposal
01.04.2014 00:27
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Software AG sells its SAP-Service Operations in the DACH region to its
strategic partner, the Scheer Group
- The Scheer Group acquires the SAP Consulting operations in Germany,
Austria and Switzerland
- Software AG and the Scheer Group agree on a strategic cooperation
- The transaction concludes the consolidation of the SAP Consulting
business
Darmstadt, Germany, 31/3/2014
Software AG (Frankfurt TecDAX: SOW) today announced that an agreement with
the Scheer Group GmbH (Saarbrucken, Germany) has been reached concerning
the sale of its SAP-service operations in Germany, Austria and Switzerland
(DACH region). The parties have agreed to maintain confidentiality with
regard to the details of the agreement and the purchase price. The
transaction is subject to approval of the respective fair trade offices and
other customary closing conditions, and is expected to close in the second
quarter of 2014. The transaction includes all of Software AG's SAP
product-specific services in the region DACH bundled in its subsidiary IDS
Scheer Consulting GmbH with some 500 employees and total revenue of some
EUR64 million (FY 2013).
With this step, Software AG will conclude the consolidation and
transformation of the (non-core) SAP consulting business after having
divested the operations in North America and Eastern Europe in 2013. The
SAP consulting business was part of IDS Scheer AG which Software AG
acquired in 2009 with the main focus on ARIS, the world leading business
process analysis product portfolio. Software AG has fully integrated and
further developed the ARIS product family which has become a vital and
driving part of its fast growing product line Business Process Excellence
(BPE). This business line already provides 60 percent of Software AG's
product revenue and has showed significantly stronger growth than the
market and its peers.
Software AG and the Scheer Group have been partners in the German Software
Cluster for more than five years and intend to extend their cooperation
based on ARIS technology. ARIS is rated as the leading software for design
and analysis of digital business processes and as of this year ARIS is also
available in the cloud.
The transaction is expected to have a neutral to slightly positive effect
on stated EBIT (IFRS) for FY 2014 and will reduce the revenue and business
line contribution of the consulting division. The company now expects for
FY 2014 additional improvements of group profit margin and to increase
operating result (non-IFRS) for FY 2014 by two to seven percent over the
previous year.
The financial results for Q1 2014 (IFRS, preliminary) will be released on
May 2, 2014.
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Language: English
Company: Software AG
Uhlandstraße 12
64297 Darmstadt
Germany
Phone: +49 (0)6151 92-1900
Fax: +49 (0)6151 92-34 1899
E-mail: Investor.Relations@softwareag.com
Internet: www.softwareag.com
ISIN: DE0003304002
WKN: 330400
Indices: TecDAX
Listed: Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr
in Berlin, Düsseldorf, Hamburg, München, Stuttgart
End of Announcement DGAP News-Service
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