OR YEHUDA, Israel, Dec. 13, 2010 /PRNewswire-FirstCall/ -- Magic Software Enterprises Ltd. (Nasdaq: MGIC), a leading provider of cloud and on-premise application platform and business integration solutions, announced today that it signed a purchase agreement to acquire its South African distributor, Magix Integration (Pty) Ltd.
Magic Software is expanding its global presence in South Africa with the acquisition of Magix Integration's operations relating to Magic Software products. Magic Software will now control 51% of Magix Integration with an option to increase its holdings to 75%; for a total investment of up to $2.5 million to be paid over the next year.
Magix Integration specializes in the software integration and application development of Magic software platforms as well as the support of large-scale and complex systems in the public and financial sectors in South Africa. Magix Integration has a broad base of blue chip customers across the public sector in South Africa including the Department of Correctional Services, Department of Energy, and Financial Services Board, as well as the private sector with customers such as Discovery, Soviet, and PG Glass.
Commenting on the acquisition, Guy Bernstein, acting Chief Executive Officer of Magic Software, said, "I am very pleased with the new acquisition, which expands our global operations to include South Africa, adding to our 13 existing offices worldwide. We expect this addition to positively contribute to our growth plans and further strengthen our presence in this region."
"We are proud to be part of Magic Software Enterprises, a global technology company. This will allow us to provide added value to our customers and partners through the exciting technology enhancements Magic Software is bringing to the market," said Hedley Hurwitz, Managing Director of Magix Integration.
About Magix Integration
Magix Integration specializes in Software Integration and Application Development. Magix Integration is able to provide solutions to complex and large-scale software requirements through a combination of software tools and disciplines. Magic Integration strives to listen to client needs, provide value at every step of the engagement process, and solve problems with innovation and simplicity.
About Magic Software
Magic Software Enterprises Ltd. (Nasdaq: MGIC) is a global provider of cloud and on-premise application platform solutions – including full client, rich internet applications (RIA), mobile and software-as-a-service (SaaS) modes – and business and process integration solutions. Magic Software Enterprises has 13 offices worldwide and a presence in more than 50 countries with a global network of ISVs, system integrators, value-added distributors and resellers, as well as consulting and OEM partners. The company's award-winning, code-free solutions give partners and customers the power to leverage existing IT resources, enhance business agility and focus on core business priorities. Magic Software's technological approach, product roadmap and corporate strategy are recognized by leading industry analysts. Magic Software has partnerships with global IT leaders including SAP AG, salesforce.com, IBM and Oracle. For more information about Magic Software and its products and services, visit www.magicsoftware.com, and for more information about Magic Software industry-related news, business issues and trends, read the Magic Software Blog.
Except for the historical information contained herein, the matters discussed in this news release include forward-looking statements that may involve a number of risks and uncertainties. Actual results may vary significantly based upon a number of factors including, but not limited to, risks in product and technology development, market acceptance of new products and continuing product conditions, both here and abroad, release and sales of new products by strategic resellers and customers, and other risk factors detailed in the Company's most recent annual report and other filings with the Securities and Exchange Commission.
Magic is the trademark of Magic Software Enterprises Ltd.
SOURCE Magic Software Enterprises Ltd