FAIRFAX, VA, Nov. 4, 2016 /PRNewswire/ - CGI Group Inc. (NYSE: GIB) (TSX: GIB.A), a leading provider of information technology and business processing services, announced today that it has completed the acquisition of Collaborative Consulting, through its wholly-owned U.S. subsidiary, CGI Technologies and Solutions Inc. With a head office in Boston, MA and nearly 400 professionals, Collaborative generates annualized revenue of approximately US$76M and brings skills, experience and deep relationships in high-growth, in-demand IT services that improve usability, functionality and performance of digital technology and information management systems for its clients.
This merger complements CGI's proximity model, further augmenting its relationships and supplementing CGI's footprint in the Boston metro area as well as the surrounding New England region. Collaborative will enhance and accelerate CGI's position as a leading provider of digital transformation services to meet growing demand, particularly benefitting the commercial sector.
"In line with our strategy and fiscal 2017 business plan, the combination with Collaborative will have a significant positive impact on our US Northeast operations while acting as a catalyst for future organic growth for the overall US business, contributing to both our high-end consulting offerings while adding to our onshore delivery options," said David L. Henderson, CGI President of U.S. Operations.
"This combination is consistent with CGI's well-articulated Build and Buy strategy to invest in both transformational and niche acquisitions that will spur future growth and expand coverage in targeted metro markets," added George D. Schindler, President and Chief Executive Officer, CGI. "Collaborative fits this bill as it brings both unique local relationships and deep industry experience to the CGI global platform."
The cash acquisition of all unit holder positions of Collaborative Consulting was completed effective November 3, 2016.
All statements in this press release that do not directly and exclusively relate to historical facts constitute "forward-looking statements" within the meaning of that term in Section 27A of the United States Securities Act of 1933, as amended, and Section 21E of the United States Securities Exchange Act of 1934, as amended, and are "forward-looking information" within the meaning of Canadian securities laws. These statements and this information represent CGI's intentions, plans, expectations and beliefs, and are subject to risks, uncertainties and other factors, of which many are beyond the control of the Company. These factors could cause actual results to differ materially from such forward-looking statements or forward-looking information. These factors include but are not restricted to: the timing and size of new contracts; acquisitions and other corporate developments; the ability to attract and retain qualified members; market competition in the rapidly evolving IT industry; general economic and business conditions; foreign exchange and other risks identified in the press release, in CGI's annual and quarterly Management's Discussion and Analysis ("MD&A") and in other public disclosure documents filed with the Canadian securities authorities (filed on SEDAR at www.sedar.com) and the U.S. Securities and Exchange Commission (filed on EDGAR at www.sec.gov), as well as assumptions regarding the foregoing. The words "believe", "estimate", "expect", "intend", "anticipate", "foresee", "plan", and similar expressions and variations thereof, identify certain of such forward-looking statements or forward-looking information, which speak only as of the date on which they are made. In particular, statements relating to future performance are forward-looking statements and forward-looking information. CGI disclaims any intention or obligation to publicly update or revise any forward-looking statements or forward-looking information, whether as a result of new information, future events or otherwise, except as required by applicable law. Readers are cautioned not to place undue reliance on these forward-looking statements or on this forward-looking information.
Founded in 1976, CGI Group Inc. is the fifth largest independent information technology and business process services firm in the world. Approximately 65,000 professionals serve thousands of global clients from offices and delivery centers across the Americas, Europe and Asia Pacific, leveraging a comprehensive portfolio of services, including high-end business and IT consulting, systems integration, application development and maintenance and infrastructure management, as well as 150 IP-based services and solutions. With annual revenue in excess of C$10 billion and an order backlog exceeding C$20 billion, CGI shares are listed on the TSX (GIB.A) and the NYSE (GIB). Website: www.cgi.com.
SOURCE CGI Group Inc.