Amdocs Agrees to Acquire SigValue Technologies, Inc., a Provider of Customer Care and Billing Solutions for High-Growth Emerging Markets

Acquisition expands Amdocs' addressable market; Positions the company to

take advantage of the rapid growth of pre-paid mobile services in select

regions around the world

    ST. LOUIS, Jan. 3 /PRNewswire-FirstCall/ -- Amdocs ( DOX), the
 leading provider of software and services to enable integrated customer
 management and the intentional customer experience(TM), today announced it
 has signed an agreement to acquire SigValue Technologies, Inc. (SigValue),
 a provider of an integrated billing, customer care, and service control
 platform designed for service providers in high-growth emerging markets
 around the world. Amdocs currently owns 14% of SigValue's outstanding
 capital stock. Under the terms of the agreement, Amdocs will acquire all of
 SigValue's remaining share capital for approximately $54 million in cash,
 net of cash on hand.
     SigValue's platform is aimed at service providers in emerging markets,
 such as Eastern Europe, Africa, Latin America and Asia, where the
 telecommunications customer base is predominantly composed of mobile
 pre-paid subscribers. SigValue's platform addresses the needs of this
 customer base, combining the basic functions required for billing and
 customer care with a service control function, offering a single system
 that supports multiple networks, multiple services and all lines of
 business.
     "The regions referred to as "emerging markets" are the fastest-growing
 in telecom, and Amdocs has already enjoyed success in the more economically
 developed portions of these regions - including Moscow, Russia and Beijing,
 China, among others," said Patrick McGrory, Network Business Unit
 president, Amdocs. "Our experience in these markets has proven that with
 economic development fostered in part by the penetration of mobile
 communication services, service provider requirements also develop. With
 SigValue, we believe Amdocs will be able to address the needs of these
 service providers, and evolve with them as their respective markets and
 needs evolve." Added McGrory, "Amdocs' unparalleled expertise and
 experience in telecommunications, combined with SigValue's light-weight
 technology and its sales channels, will enable Amdocs' success in these
 markets."
     "Pre-paid subscribers represent the majority of customers in the
 emerging markets, which are also characterized by relatively low levels of
 average revenue per user," said Adam Feit, chief executive officer of
 SigValue. "We believe SigValue's light-weight, tightly-packaged,
 high-performance software platform will help Amdocs enable service
 providers in emerging markets to keep costs of operations low, while
 supporting rapid growth."
     SigValue is a private company founded in April 2000, has approximately
 75 employees and is based in Hod-Hasharon, Israel. SigValue's venture
 capital investors include AIG Orion Fund L.P. and Holland Ventures. The
 closing of the acquisition is subject to regulatory approvals and other
 conditions customary to such transactions and is expected to occur in the
 quarter ending March 31st, 2007. The impact of the acquisition on Amdocs'
 non-GAAP earnings per share is expected to be neutral in fiscal 2007. The
 impact on GAAP results is expected to be dilutive in fiscal 2007 but will
 not be known until after Amdocs completes the purchase price accounting for
 the acquisition. Amdocs may incur a one-time acquisition-related charge in
 the quarter ending March 31, 2007 to account for certain costs related to
 the acquisition.
     About Amdocs
     Amdocs combines innovative software and services with deep business
 knowledge to accelerate implementation of integrated customer management by
 the world's leading service providers. By delivering a comprehensive
 portfolio of software and services that spans the customer lifecycle,
 Amdocs enables service companies to deliver an intentional customer
 experience(TM), which results in stronger, more profitable customer
 relationships. Service providers also benefit from a rapid return on
 investment, lower total cost of ownership and improved operational
 efficiencies. A global company with revenue of $2.48 billion in fiscal
 2006, Amdocs has over 16,000 employees and serves customers in more than 50
 countries around the world. For more information, visit Amdocs at
 www.amdocs.com.
     Forward-Looking Statement
     This press release includes information that constitutes
 forward-looking statements made pursuant to the safe harbor provision of
 the Private Securities Litigation Reform Act of 1995, including statements
 about Amdocs' agreement to acquire SigValue Technologies, Inc. and its
 growth and business results in future quarters. Although we believe the
 expectations reflected in such forward-looking statements are based upon
 reasonable assumptions, we can give no assurance that our expectations will
 be obtained or that any deviations will not be material. Such statements
 involve risks and uncertainties that may cause future results to differ
 from those anticipated. These risks include, but are not limited to, the
 effects of general economic conditions, Amdocs' ability to grow in the
 business segments it serves, adverse effects of market competition, rapid
 technological shifts that may render the Company's products and services
 obsolete, potential loss of a major customer, our ability to develop
 long-term relationships with our customers, and risks associated with
 operating businesses in the international market. Amdocs may elect to
 update these forward-looking statements at some point in the future,
 however the Company specifically disclaims any obligation to do so. These
 and other risks are discussed at greater length in the Company's filings
 with the Securities and Exchange Commission, including in our Annual Report
 on Form 20-F for the fiscal year ended September 30, 2006, filed on
 December 13, 2006.
      Media Contacts:
 
      Darcy Hansen
      Amdocs
      Tel: +1-201-631-3226
      E-Mail: Darcy.Hansen@amdocs.com
 
 

SOURCE Amdocs