SDL plc Disposal of Social Intelligence
20 April 2017 - 4:30PM
Business Wire
SDL plc ("SDL" or the "Group"; LSE: SDL), the global innovator
in language translation technology, services and content
management, today announces an agreement to sell its Social
Intelligence activities comprised of two subsidiaries - Social
Intelligence, Inc and SDL Technologies (Vietnam) Co Ltd (together,
the “Social Intelligence Business”) - to Social Data Intelligence
LLC ("SDIL"). Completion of the transaction is expected on 2 May
2017.
The Social Intelligence Business designs and develops software
and provides analysts’ services to collect, analyse and interpret
Social Data.
Background to this transaction
In January 2016, SDL announced its strategic decision to divest
certain non-core elements of the Group's technology business, being
Campaigns, Fredhopper and Social Intelligence. As previously
announced, the Campaigns business was sold on 2 November 2016 and
the Fredhopper business was sold on 8 March 2017.
Details and financial impact of the transaction
SDL has signed a sale and purchase agreement with SDIL for the
sale of its Social Intelligence Business. The immediate cash
consideration for the Social Intelligence Business disposal is £1.
As part of the transaction, SDL has agreed to subscribe for a $1
million unsecured 2027 loan note issued by SDIL.
The gross assets of the business being disposed amount to
approx. £0.4 million and this transaction is expected to lead to a
loss on disposal of approx. £0.5 million which will be accounted
for within discontinued activities. The Social Intelligence
Business made a loss before taxation in 2016 of £3.8 million which
was reported as a discontinued activity in the Group's annual
report.
Adolfo Hernandez, CEO of SDL, commented: "We are
delighted to have found a home for stakeholders of the Social
Intelligence Business, including employees and customers. The
transaction concludes the sale of the Group’s non-core
businesses."
This announcement contains inside information.
About SDL
SDL (LSE: SDL) is the global innovator in language translation
technology, services and content management. For more than 20
years, SDL has transformed business results by enabling nuanced
digital experiences with customers across the globe so they can
create personalized connections anywhere and on any device. Are you
in the know? Find out more at SDL.com and follow us on Twitter,
LinkedIn and Facebook.
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version on businesswire.com: http://www.businesswire.com/news/home/20170419006727/en/
SDL plcAdolfo Hernandez, 01628 410 127Chief Executive
OfficerorDominic Lavelle, 01628 410 127Chief Financial
OfficerorFTI Consulting LLPEdward Bridges / Emma Appleton,
020 3727 1000
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