NetCompany Group, a new generation IT company that provides strategic solutions in the private and public sectors, has acquired Intrasoft International in a deal valued at 235 million euros. The Danish company will pay cash of 166.8 million euros and will transfer 18 million euros of its shares with the transaction expected to be completed within the last quarter of the year after the necessary approvals have been granted.
Sokratis Kokkalis, Founder and Chairman of INTRACOM HOLDINGS, commenting on the transaction stated: “Defining drivers of INTRACOM’s success have always been adaptability to economic environment and flexibility in the transition to optimum business models. This transaction is to the best interest of all parties involved: NETCOMPANY and INTRASOFT INTERNATIONAL enter into a successful partnership, sharing the same vision, and INTRACOM has the chance to develop a significant investment plan in cutting edge sectors in Greece and abroad, thus generating value for its shareholders.”
As stated by Intracom in an announcement, “the company has a proven and long-lasting experience as well as a successful track record in establishing, managing and selling subsidiaries, generating significant value. The sale of INTRASOFT INTERNATIONAL, following a 25 years’ course of growth and profitability, is a strategic decision towards further enhancement of INTRACOM HOLDINGS’ activities, long term prospects, and value delivered to its shareholders.”
The sale of INTRASOFT INTERNATIONAL will fuel the mother company with a combination of liquidity and leverage potential, offering investment capability of over 300 million euros, which could be further expanded by European funding projects through Hellenic Development Bank of Investment, in which INTRACOM HOLDINGS aims to participate.
Pursuant to such binding agreement between NETCOMPANY and INTRACOM TECHNOLOGIES, NETCOMPANY shall acquire the entire outstanding share capital in INTRASOFT INTERNATIONAL out of which percentage of 91,74 % is currently held by INTRACOM TECHNOLOGIES S.a.r.l, whereas the remaining percentage is held by individuals in the top and middle management of INTRASOFT INTERNATIONAL. The transaction value is 235 million euros for the acquisition of the entire outstanding share capital of INTRASOFT INTERNATIONAL and the purchase price which amounts to 184.8 million euros comprises a combination of cash and share consideration by the acquiring company. More specifically, for the acquisition of the entire outstanding share capital of INTRASOFT INTERNATIONAL, the agreement provides for a cash payment of 166.8 million euros and a share consideration in NETCOMPANY’s shares corresponding to a value of 18 million euros. Completion of the transaction is expected within Q4 2021, and is subject to anticipated conditions precedent and necessary approvals.