Filing of Public Exchange Offer by Sopra Group on All of the Shares of Steria
11 June 2014 - 4:00PM
Business Wire
Regulatory News:
Sopra Group (Paris:SOP):
Following the announcement of the planned friendly tie-up of
Sopra Group (NYSE EURONEXT: SOP) and Steria (NYSE EURONEXT: RIA) of
8 April 2014, the two companies have announced that Sopra Group
filed on 10 June 2014 a draft public exchange offer with the AMF
(French Regulator) on all of the shares of Steria on the basis of a
share exchange ratio of one (1) Sopra Group share for four (4)
Steria shares. Concomitantly, Steria filed a draft memo in
response, including the report by the independent appraiser
Finexsi.
This planned tie-up was unanimously approved by all of the
governance bodies of the two companies, i.e., the Sopra Group Board
of Directors, the Steria Supervisory Board and the Board of
Directors of its general partner, Soderi.
This tie-up will lead to the creation of a European leader in
digital services with combined revenue of €3.1bn (based on 2013 pro
forma) and a presence in 24 countries, with over 35,000
professionals at the service of major international clients. The
excellent complementary fit in terms of geographies and business
lines (especially through the alliance of Solutions and Business
Process Services), will lead to the most comprehensive offer
portfolio on the market as well as significant value creation on
the basis, on the one hand, of substantial revenue synergies and,
on the other hand, annual operating savings that have been
estimated at around €62m. Half of these savings should be achieved
in 2015 and 100% in 2016, which will result in a large increase in
Sopra’s earnings per share from 2016, after integration costs are
taken into account (before integration costs and amortization of
the intangibles linked to the operation, the accretive impact on
earnings per share is estimated at approximately 5% by the year
2015, and more than 20% in 2016).
The Offer is subject to the approval of the AMF.
The terms and conditions of the Offer1 are described in the
draft information memo of Sopra Group as filed today with the
Autorité des Marchés Financiers.
The reasoned opinion of Steria’s Supervisory Board, rendered
during its meeting on 2 June 2014, as well as the entire
report, including the assertion of fairness regarding the financial
terms of the Offer, of the independent appraiser, Finexsi,
represented by Lucas Robin and Olivier Peronnet, appear in the
draft memo in response, also filed today with the Autorité des
Marchés Financiers.
These two draft memos are available on the websites of the AMF
and the companies concerned.
This announcement has been released for information purposes
only and does not constitute and must not be considered as an offer
to purchase Groupe Steria or Sopra shares. The release of this
announcement may be restricted by law in certain jurisdictions and,
therefore, any person holding this document must enquire about
applicable legal restrictions and comply with them. Therefore,
Steria and Sopra Group decline all liability whatsoever with regard
to the potential violation, by any person, of these
restrictions.
This document is a free translation into English of an original
French press release. It is not a binding document. In the event of
a conflict in interpretation, reference should be made to the
French version, which is the authentic text.
1 Including the conditions precedent of the Offer as described
in section 2.10 of the draft information memo.
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Investor RelationsSopra:Kathleen Clark
Braccoinvestors@sopra.com+33.1.40.67.29.61orSteria:Olivier
Psaumeolivier.psaume@steria.com+33.1.34.88.55.60orPress
RelationsImage Sept:Caroline Simon / Simon
Zakscaroline.simon@image7.fr / szaks@image7.fr+33.1.53.70.74.65 /
+33 1 53 70 74 63orSteria:Jennifer
LansmanJennifer.lansman@steria.com+33.1.34.88.61.27
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