Feeds

LogicaCMG buys its way into top ten

Buys WM Data

Choosing a cloud hosting partner with confidence

LogicaCMG is paying £882m for WM Data - a pan-Scandanavian services company.

The price is about 25 per cent higher than shares have been trading at for the last three months. The takeover bid is unaminously backed by the WM Data board of directors. The deal will make the new firm the seventh largest IT services company by revenue in Europe.

The new company will have 40,000 employees in 41 countries and would have brought in revenues of £3bn for the year ended 31 December 2005. This would make the combined company a global top 20 IT services company by revenue and second largest listed IT services firm in Europe.

A spokeswoman for the company said the deal was about growth not cost savings. The deal will support Logica's strong position in France, the Netherlands, and the UK. There is little overlap. If the deal goes through the combined firm should enjoy cost savings of £15m - a spokeswoman said little of this would come from job cuts.

Dr Martin Read, LogicaCMG's chairman, said: "Increasingly, our customers want to do business with a smaller number of larger suppliers who can provide them with a broader range of offerings and support them internationally."

WM Data has about 9,000 employees in Denmark, Finland, Norway, Sweden, Poland and Estonia. WM Data uses Estonia and Poland for offshoring, or nearshoring, but now the firm will have access to LogicaCMG's Indian and central European offshore centres.

WM Data brought in revenues of £681.8m for the year ended 31 December 2005 and a profit of £29.5m.

There's a press release available here - but only if you live in the right country. ®

Internet Security Threat Report 2014

More from The Register

next story
Bono apologises for iTunes album dump
Megalomania, generosity and FEAR of irrelevance drove group to Apple deal
HBO shocks US pay TV world: We're down with OTT. Netflix says, 'Gee'
This affects every broadcaster, every cable guy
Facebook, Apple: LADIES! Why not FREEZE your EGGS? It's on the company!
No biological clockwatching when you work in Silicon Valley
French 'terror law' declares WAR on the INTERNET itself, say digi-rights folks
Liberté, Égalité, Fraternité: Two out of three ain't bad
SCREW YOU, EU: BBC rolls out Right To Remember as Google deletes links
Not even Google can withstand the power of Auntie
Arab States make play for greater government control of the internet
Nerds told to get lost in last-minute power grab bid at UN meeting
Zippy one-liners, broken promises: Doctor Who on the Orient Express
Series finally hits stride, but Clara's U-turn is baffling
Don't bother telling people if you lose their data, say Euro bods
You read that right – with the proviso that it's encrypted
America's super-secret X-37B plane returns to Earth after nearly TWO YEARS aloft
674 days in space for US Air Force's mystery orbital vehicle
prev story

Whitepapers

Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Win a year’s supply of chocolate
There is no techie angle to this competition so we're not going to pretend there is, but everyone loves chocolate so who cares.
Why cloud backup?
Combining the latest advancements in disk-based backup with secure, integrated, cloud technologies offer organizations fast and assured recovery of their critical enterprise data.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Saudi Petroleum chooses Tegile storage solution
A storage solution that addresses company growth and performance for business-critical applications of caseware archive and search along with other key operational systems.