Feeds

Geac acquiesces to $1bn buyout

Cash pours in through Golden Gate

Build a business case: developing custom apps

Enterprise software supplier Geac Computer Corporation has been bought by private equity firm Golden Gate Capital in an all-cash deal valued at approximately $1bn. The agreement, which is subject to standard closing conditions including the approval of regulators and Geac shareholders, is expected to close in the first calendar quarter of 2006.

Geac shareholders are being offered $11.10 per share or a 27 per cent premium over Friday’s trading price. Crescendo, a dissident shareholder group that owns about 5 per cent of Geac, and which recently fought a heated proxy battle with the board, supports the deal, Reuters reports.

David Dominik, managing director of Golden Gate Capital, which has more than $2.5bn under management said that Geac would be reorganised into two separate Golden Gate Capital portfolio companies.

As part of this reorganization, Infor, an existing Golden Gate Capital funded company, will acquire Geac’s ERP software products – including System21, Runtime, RatioPlan, Streamline, and Management Data – and the workers who support them will move to Infor. Geac’s financial applications and the Industry Specific Applications (ISA) will operate under the name of a new (and as yet unnamed) company within the Golden Gate portfolio.

Reorganising Canada-based Geac's business using this 'assembler' strategy will repeat a model used by Golden Gate in previous acquisitions. "Golden Gate Capital looks at acquisitions with a different perspective than most private equity firms. We seek to integrate companies that can grow significantly faster together than they could on their own. This strategy has been implemented successfully by Concerto/Aspect Software, AttachmateWRQ, Inovis and Infor," Dominik said. ®

Build a business case: developing custom apps

More from The Register

next story
iPad? More like iFAD: We reveal why Apple fell into IBM's arms
But never fear fanbois, you're still lapping up iPhones, Macs
Sonos AXES support for Apple's iOS4 and 5
Want to use your iThing? You can't - it's too old
Amazon says Hachette should lower ebook prices, pay authors more
Oh yeah ... and a 30% cut for Amazon to seal the deal
Philip K Dick 'Nazi alternate reality' story to be made into TV series
Amazon Studios, Ridley Scott firm to produce The Man in the High Castle
Joe Average isn't worth $10 a year to Mark Zuckerberg
The Social Network deflates the PC resurgence with mobile-only usage prediction
Chips are down at Broadcom: Thousands of workers laid off
Cellphone baseband device biz shuttered
Feel free to BONK on the TUBE, says Transport for London
Plus: Almost NOBODY uses pay-by-bonk on buses - Visa
Twitch rich as Google flicks $1bn hitch switch, claims snitch
Gameplay streaming biz and search king refuse to deny fresh gobble rumors
Stick a 4K in them: Super high-res TVs are DONE
4,000 pixels is niche now... Don't say we didn't warn you
prev story

Whitepapers

Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Boost IT visibility and business value
How building a great service catalog relieves pressure points and demonstrates the value of IT service management.
Why and how to choose the right cloud vendor
The benefits of cloud-based storage in your processes. Eliminate onsite, disk-based backup and archiving in favor of cloud-based data protection.
The Essential Guide to IT Transformation
ServiceNow discusses three IT transformations that can help CIO's automate IT services to transform IT and the enterprise.
Maximize storage efficiency across the enterprise
The HP StoreOnce backup solution offers highly flexible, centrally managed, and highly efficient data protection for any enterprise.