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Acquisition strengthens CGI's position as leading business and IT consulting services firm
MONTRÉAL, April 16, 2019 /PRNewswire/ - CGI (TSX: GIB.A) (NYSE: GIB) announced today the completion of the previously announced public tender offer of CGI Nordic Holdings Limited, its wholly owned indirect subsidiary, to acquire Acando AB (publ), a leading IT management and consulting services firm in Northern Europe and Germany. The offer has been accepted to such an extent that CGI now owns approximately 93.7% of the outstanding shares of Acando corresponding to approximately 94.3% of the outstanding votes. All necessary regulatory approvals for the completion of the offer have been obtained, all other conditions of the offer have been satisfied or waived and CGI has decided to complete the offer. This acquisition of Acando will add more than 2,100 highly skilled consultants to CGI from five countries across Europe, notably in the major metro markets of Stockholm, Sweden, Oslo, Norway and Hamburg, Germany.
With significant strategic consulting, systems integration and customer-centric digital innovation capabilities, Acando will complement CGI's global footprint and expertise across key sectors, including manufacturing, retail and government.
"We look forward to welcoming Acando professionals as CGI members," said George D. Schindler, President and Chief Executive Officer. "Acando's approach to business consulting and digital innovation will strengthen CGI's end-to-end services offering for the benefit of our clients."
"Acando is a great cultural fit for CGI, providing experts who are passionate problem solvers with trusted client relationships and a strong reputation for client satisfaction," said Heikki Nikku, President of CGI's Northern Europe operations. "Together, we look forward to creating additional business opportunities as a combined team of highly skilled innovators who share a passion for delivering excellence."
With this acquisition, CGI now has more than 10,000 consultants in Northern Europe and 4,000 consultants in Germany. With a deep commitment to being the best in the IT industry across the Nordics and around the world, CGI serves as a market leader in delivering end-to-end IT and business consulting services, solutions and outsourcing services.
Founded in 1976, CGI is among the largest independent IT and business consulting services firms in the world. With more than 77,000 consultants across the globe, CGI delivers an end-to-end portfolio of capabilities, from IT and business consulting to systems integration, outsourcing services and intellectual property solutions. CGI works with clients through a local relationship model complemented by a global delivery network that helps clients digitally transform their organizations and accelerate results. With annual revenue of C$11.5 billion, CGI shares are listed on the TSX (GIB.A) and the NYSE (GIB). Learn more at cgi.com.
Forward-looking information and statements
This press release contains "forward-looking information" within the meaning of Canadian securities laws and "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995 and other applicable United States safe harbours. All such forward-looking information and statements are made and disclosed in reliance upon the safe harbour provisions of applicable Canadian and United States securities laws. Forward-looking information and statements include all information and statements regarding CGI's intentions, plans, expectations, beliefs, objectives, future performance, and strategy, as well as any other information or statements that relate to future events or circumstances and which do not directly and exclusively relate to historical facts. Forward-looking information and statements often but not always use words such as "believe", "estimate", "expect", "intend", "anticipate", "foresee", "plan", "predict", "project", "aim", "seek", "strive", "potential", "continue", "target", "may", "might", "could", "should", and similar expressions and variations thereof. These information and statements are based on our perception of historic trends, current conditions and expected future developments, as well as other assumptions, both general and specific, that we believe are appropriate in the circumstances. Such information and statements are, however, by their very nature, subject to inherent risks and uncertainties, of which many are beyond the control of CGI, and which give rise to the possibility that actual results could differ materially from our expectations expressed in, or implied by, such forward-looking information or forward-looking statements. These risks and uncertainties include but are not restricted to: risks related to the market such as the level of business activity of our clients, which is affected by economic and political conditions, and our ability to negotiate new contracts; risks related to our industry such as competition and our ability to attract and retain qualified employees, to develop and expand our services, to penetrate new markets, and to protect our intellectual property rights; risks related to our business such as risks associated with our growth strategy, including the integration of new operations, financial and operational risks inherent in worldwide operations, foreign exchange risks, income tax laws, our ability to negotiate favorable contractual terms, to deliver our services and to collect receivables, and the reputational and financial risks attendant to cybersecurity breaches and other incidents; as well as other risks identified or incorporated by reference in this press release, in CGI's annual and quarterly MD&A and in other documents that we make public, including our filings with the Canadian Securities Administrators (on SEDAR at www.sedar.com) and the U.S. Securities and Exchange Commission (on EDGAR at www.sec.gov). Unless otherwise stated, the forward-looking information and statements contained in this press release are made as of the date hereof and CGI disclaims any intention or obligation to publicly update or revise any forward-looking information or forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable law. While we believe that our assumptions on which these forward-looking information and forward-looking statements are based were reasonable as at the date of this press release, readers are cautioned not to place undue reliance on these forward-looking information or statements. Furthermore, readers are reminded that forward-looking information and statements are presented for the sole purpose of assisting investors and others in understanding our objectives, strategic priorities and business outlook as well as our anticipated operating environment. Readers are cautioned that such information may not be appropriate for other purposes. Further information on the risks that could cause our actual results to differ significantly from our current expectations may be found in the section titled "Risk Environment" of CGI's annual and quarterly MD&A, which is incorporated by reference in this cautionary statement. We also caution readers that the above-mentioned risks and the risks disclosed in CGI's annual and quarterly MD&A and other documents and filings are not the only ones that could affect us. Additional risks and uncertainties not currently known to us or that we currently deem to be immaterial could also have a material adverse effect on our financial position, financial performance, cash flows, business or reputation.
SOURCE CGI Inc.