Cybercom acquires Consafe Infotech

Thursday 4 December 2003 10:01 CET | News

Cybercom purchases Consafe Infotech and becomes one of the Nordic countries leading consultancies serving the telecom sector.

The deal is part of Cybercoms strategy to achieve its financial goal of SEK 750 million in sales and an 8% operating margin within three years. The JCE Group owns Consafe Infotech, which develops telecom and datacom solutions, mainly for the telecom industry and for telecom operators. The company is expected to turn over SEK 95 million and to achieve a 10% operation margin this year. After the deal the JCE-group will own 10% of the shares in Cybercom.The preliminary purchase price is based on SEK 62.5 million, on a debt-free basis. The final price will be finalised on the day of takeover, after the extraordinary general meetings approval. A result-based supplementary amount will be added to the purchase price. Half the acquisition will be financed through a new issue of Cybercom shares; the other half will be paid in cash. The deal is not expected to incur structure costs. Cybercom is also reviewing its e-business operation to be more focused and ensure profitability within this area. Structure costs of SEK 6 million will burden Q4 2003 financial results, and savings will reach SEK 10 million on an annual basis.

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Categories: Payments & Commerce | Mobile Payments
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