STOCKHOLM, Sweden, March 17, 2004 (PRIMEZONE) -- WM-date has reached an agreement covering the acquisition of all shares in Parere AB from the current owner Bure Equity. Parere, with 150 employees and sales of SEK 214 M, 2003, is one of the leading companies in Sweden within payroll and PA systems. As a result of the acquisition, WM-date strengthens its position in the area, which is part of WM-data's total offering on the market for IT-related services. The transaction supports WM-data's strategic goal of becoming the leading supplier of payroll and PA systems in the Nordic region.
Parere, formerly PAHR Svenska AB, was formed through the merger of Svenska PA, Quickit and Palett HRM and is currently one of Sweden's leading companies in payroll and PA systems. Parere also has a wholly owned subsidiary Syncronos AS, with operations in Norway. Currently, 150 persons are employed within Parere, of whom 26 in Norway. All employees will transfer to WM-data as a result of the acquisition.
Payroll and PA system is a prioritized segment for WM-data and a pronounced growth area in the entire Nordic region. WM-data's earlier acquisition of Novo Group was a valuable addition within the area. After the acquisition of Parere WM-data has annual sales of about SEK 750 M and about 700 persons working within the segment on a Nordic basis. The acquisition thereby supports WM-data's strategic goal of becoming the leading supplier of payroll and PA systems in the Nordic region.
"The acquisition of Parere is a significant step for WM-data and our combined operations form a strong and leading player within the area of payroll and personnel administration systems," said Jan Strang, President of WM-data's product operations. Combined, WM-data and Parere have many years of experience, unique competence and favorable proximity in most customer segments within the area. Our goal is to develop an efficient and price-worthy solution and we are convinced that this combination will contribute to increased benefits for our customers.
"This transaction is very positive for our customers and our employees," said Hans-Ake Carlsson, President of Parere. With WM-data, we gain a strong industrial owner that has the skill and the willingness to focus on the personnel administration and payroll areas. It is also pleasing that the investments we made in our products were attractive to WM-data and consequently are secured through the acquisition.
In 2003, Parere reported profit before goodwill amortization and net financial items (EBITA) of SEK 40 M and pre-tax profit was SEK 21 M. The purchase price amount to SEK 325M. The acquisition increases WM-data's goodwill by a total of about SEK 400 M, which will be amortized over 20 years. Earnings per share will be affected marginally in 2004. As of 2005, capitalized synergy gains will provide a positive effect on earnings per share.
The takeover is expected to occur at the end of April or the beginning of May when the Competition Authority is expected to provide its approval.
WM-data was founded in 1969 and is one of the leading IT companies in the Nordic region today. Through a broad offering of design and IT-related services, we create increased efficiency and tangible benefits for our customers. Annual sales amount to approximately SEK 8,000 million, with approx. 8,000 employees. For additional information, visit our website: www.wmdata.com
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