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LogicaCMG buys Unilog for £630m
Rights issue
LogicaCMG is paying €930.3m(£630.6m) for French reseller Unilog and will issue shares to pay for it.
It will buy 32.3 per cent from "certain members of the management of Unilog and others for a total of €255.4m in cash and the issue of 19, 572, 703 new Consideration Shares.".
The company proposes to acquire the remaining 67.7 per cent by offering shareholders €73 in cash for each share, an 11.5 per cent premium.
The combined company will have 27,000 employees and would have had turnover of just over €2bn in 2004. The merger will make the new company number four in France and a top-ten player across Europe. Directors pforecast "synergies" of £19m for the year ending December 31 2007.
You can see the release on Logica's website as long as you tell them you are in the UK and your telephone code is 44 - go here.
The deal is subject to the usual shareholder and regulator approval - there will be an Extraordinary General Meeting 13 October and the shareholder offer is expected to close by year end. ®
Biting the hand that feeds IT
